Form 4: Ares Management Co-Founder David Kaplan Sells Shares Under 10b5-1 Plan

Ares Management Corp co-founder David Kaplan sold a significant number of Class A Common Stock shares between November 15th and November 19th, 2024, under a pre-arranged 10b5-1 trading plan.

Summary

• David Kaplan, a co-founder and director of Ares Management Corp, executed multiple sales of Class A Common Stock between November 15th and November 19th, 2024.
• These transactions were conducted under a 10b5-1 trading plan adopted on August 16, 2024.
• The sales were executed at varying prices, ranging from $166.28 to $170.35 per share.
• A total of 41,775 shares were sold directly by Kaplan, while 250,000 shares were acquired indirectly through Trently Holdings, LLC.
• Kaplan also indirectly holds 1,150,052 shares through Ares Owners Holdings L.P. and 8,421,596 Ares Operating Group Units, which are exchangeable for Class A Common Stock.

Sentiment

Score: 5

Explanation: The document is a routine SEC filing detailing insider trading activity under a pre-arranged plan. It doesn't indicate any significant positive or negative sentiment.

Risks

• The sale of a significant number of shares by a company co-founder and director could be perceived negatively by the market.
• The 10b5-1 trading plan indicates a pre-determined strategy for selling shares, which may continue in the future.

Future Outlook

The document does not provide any specific forward-looking statements, but the existence of a 10b5-1 trading plan suggests that further sales may occur.

Industry Context

This is a standard SEC Form 4 filing, which is common for corporate insiders who trade company stock. The use of a 10b5-1 plan is a common practice to avoid accusations of insider trading.

Comparison to Industry Standards

• The trading activity is consistent with standard insider trading practices under a 10b5-1 plan.
• Other financial firms such as Blackstone and KKR also have executives who use 10b5-1 plans for stock transactions.
• The reported prices are within the typical trading range for Ares Management Corp stock.

Stakeholder Impact

• The sale of shares by a co-founder could potentially cause a slight negative reaction from shareholders, although the use of a 10b5-1 plan mitigates this concern.

Key Dates

Keywords

Ares Management Corp, David Kaplan, insider trading, Form 4, 10b5-1 plan, share sale, Class A Common Stock, Trently Holdings LLC, Ares Owners Holdings L.P., Ares Operating Group Units