Form 4: Benefit Street Partners Increases Stake in Altisource Portfolio Solutions Through Director Compensation Assignment

Benefit Street Partners LLC, a 10% owner and director of Altisource Portfolio Solutions S.A., increased its beneficial ownership of ASPS common stock and restricted share units through the assignment of director compensation from its employee, Matthew Winkler.

Summary

• Benefit Street Partners LLC (BSP), a 10% owner and director of Altisource Portfolio Solutions S.A. (ASPS), reported changes in its beneficial ownership.
• On July 8, 2025, BSP acquired 62 restricted shares of ASPS Common Stock and 19,011 restricted share units (RSUs).
• These acquisitions resulted from an assignment by Matthew Winkler, a non-management director of ASPS and an employee of BSP, of his director compensation.
• Mr. Winkler initially received the 62 restricted shares and 19,011 RSUs on May 21, 2025, as a one-time award and compensation for his 2025-2026 service year, respectively.
• The assignment was made pursuant to a Director Fees Assignment Agreement, benefiting investment funds and accounts managed by BSP and/or its advisory affiliates that own ASPS shares.
• All reported share amounts reflect ASPS's 1:8 stock combination effected on May 28, 2025.
• Following these transactions, BSP's beneficial ownership of Common Stock increased to 1,772,118 shares.

Sentiment

Score: 7

Explanation: The filing indicates a positive alignment of interests between a significant shareholder/director and the company, as director compensation is channeled back to the investment funds managed by Benefit Street Partners. This suggests continued commitment and a reinforcing of shareholder value, though it's a routine insider transaction report rather than a performance update.

Positives

• Increased beneficial ownership by a significant shareholder (10% owner) and director, indicating continued alignment of interests.
• The assignment mechanism ensures that director compensation directly benefits the investment funds managed by Benefit Street Partners, which are already shareholders.

Future Outlook

The filing indicates that Matthew Winkler's RSU grant is for the 2025-2026 service year, suggesting his continued role as a non-management director for Altisource Portfolio Solutions S.A. and the ongoing alignment of Benefit Street Partners' interests with the company.

Management Comments

• On May 21, 2025, Mr. Matthew Winkler, a non-management director of Altisource Portfolio Solutions S.A. ('ASPS' or the 'Company') and an employee of Benefit Street Partners, LLC, a registered investment adviser under Section 203 of the Investment Advisers Act of 1940, as amended ('BSP'), received a one-time award of 62 restricted shares of ASPS Common Stock.
• Pursuant to a Director Fees Assignment Agreement (the 'Assignment Agreement'), on July 8, 2025 Mr. Winkler assigned the shares referenced herein to BSP for the ratable benefit of the investment funds and accounts managed by BSP and/or its advisory affiliates that own shares of the Company.
• On May 21, 2025, Mr. Winkler was granted 19,011 restricted share units ('RSUs') as compensation for his role as a non-management director of the Company for the 2025-2026 service year.
• All share amounts set forth in this Form 4 reflect the Company's 1:8 stock combination effected as of May 28, 2025.

Industry Context

This Form 4 filing is specific to insider ownership changes and does not provide broad industry context. However, it highlights a common practice where investment firms with significant stakes in a company may have their employees serve on the board, and director compensation is channeled back to the firm's managed funds, reinforcing alignment with shareholder interests.

Comparison to Industry Standards

• The practice of a director assigning compensation to an affiliated investment firm is a standard mechanism for aligning the interests of large institutional shareholders with the company's performance.
• The 1:8 stock combination by Altisource Portfolio Solutions S.A. is a corporate action often undertaken to adjust share price and outstanding share count, which can be seen across various industries, particularly by companies seeking to optimize their stock's trading range or meet exchange listing requirements.

Corporate Governance

Related Party Transactions

• Assignment of director compensation from Matthew Winkler (an employee of Benefit Street Partners LLC and a director of ASPS) to Benefit Street Partners LLC, which is a 10% owner of ASPS. This is a related party transaction as it involves entities with common control/influence.

Stakeholder Impact

• Shareholders: Increased alignment of interests with a major institutional shareholder (Benefit Street Partners LLC), potentially signaling confidence.
• Management: Reinforces the existing governance structure where a significant shareholder has board representation.

Next Steps

• Matthew Winkler's continued service as a non-management director for the 2025-2026 service year.
• Ongoing beneficial ownership by Benefit Street Partners LLC of Altisource Portfolio Solutions S.A. shares.

Key Dates

Keywords

Altisource Portfolio Solutions, ASPS, Benefit Street Partners, BSP, Form 4, Beneficial Ownership, Insider Trading, Restricted Stock, Restricted Share Units, Director Compensation, Stock Combination, Equity Ownership