Form 4: Americold Realty Trust Executive Acquires Operating Partnership Units

Michael Bryan Verbarendse, EVP & Chief Operating Officer, Americas at Americold Realty Trust, acquired OP Profits Units and Performance OP Profits Units on March 14, 2025, under the company's 2017 Equity Incentive Plan.

Summary

• On March 14, 2025, Michael Bryan Verbarendse, EVP & Chief Operating Officer, Americas of Americold Realty Trust, acquired OP Profits Units and Performance OP Profits Units.
• The acquisitions were made under the Americold Realty Trust 2017 Equity Incentive Plan.
• 14,032 OP Profits Units were acquired, vesting ratably on March 14, 2026, 2027, and 2028.
• 7,016 Performance OP Profits Units were acquired, with payout based on the company's total shareholder return (TSR) relative to the MSCI U.S. REIT Index from January 1, 2025, to December 31, 2027.
• An additional 14,032 Performance OP Profits Units were acquired, with payout based on the company's adjusted funds from operations (AFFO) during the same performance period.
• Vested OP Profits Units and Performance OP Profits Units can be converted into common units of limited partnership interest in the Operating Partnership, which can then be redeemed for cash or common stock.

Sentiment

Score: 7

Explanation: The document is neutral to positive. It reflects standard executive compensation practices and aligns executive interests with shareholder value through performance-based incentives.

Positives

• The acquisition of OP Profits Units and Performance OP Profits Units by a key executive aligns his interests with the long-term performance of the company.
• The vesting schedules and performance-based criteria for the units incentivize the executive to drive shareholder value and improve the company's financial performance.

Risks

• The value of the Performance OP Profits Units is contingent upon achieving pre-established TSR and AFFO goals, which may not be met.
• The executive's performance may be impacted by factors outside of his control, such as market conditions or industry trends.

Future Outlook

The document outlines future vesting dates for the acquired units and performance periods for the performance-based units, indicating a focus on long-term performance and alignment with shareholder interests.

Management Comments

• M. Bryan Verbarendse is the EVP & Chief Operating Officer, Americas of Americold Realty Trust.

Industry Context

This announcement is typical for publicly traded companies, where executives receive equity-based compensation to align their interests with those of shareholders. The use of TSR and AFFO as performance metrics is common in the REIT industry.

Comparison to Industry Standards

• Equity compensation is a standard practice among publicly traded REITs, such as Prologis (PLD) and Duke Realty (DRE) before its acquisition by Prologis.
• Using TSR and AFFO as performance metrics is also common, as these metrics are widely used to evaluate REIT performance.
• The vesting schedules and performance periods are generally in line with industry standards.

Stakeholder Impact

• Shareholders: The equity grants align executive interests with shareholder value.
• Employees: The grants may motivate other employees through the example set by executive compensation.
• Executive: The grants provide a long-term incentive for the executive to improve company performance.

Key Dates