Orangeman, I think the answer's simple, and it's been said, whoever it was that wanted stock structured the deal to get him the stock at the current price. If you simply gave him $150K and said, go buy stock, a buy of that size would drive up the price, and he'd get far less stock. Furthermore, if you announced the deal before funding him or providing the stock, the news of the deal would drive the stock up even further.
I've seen other deals that offered other company's stock, typically they can opt for the stock at the time of their choosing before a certain date, the stock is typically priced at the average closing price over the previous 3 to 5 days.
I like the fact that a partner or seller wants shares, it's a statement that they like what they see in the company and believe the stock will eventually be worth far more then the current cash equivalent in time.
Gary
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