Form 4: Fund 1 Investments, LLC Reports Transaction in BJ's Restaurants Inc (BJRI)

Fund 1 Investments, LLC reports the disposition of 35,500 shares of BJ's Restaurants Inc. common stock at a price of $33.2529 per share and the entry into cash-settled total return swaps representing economic exposure to 50,000 shares.

Summary

• On April 28, 2025, Fund 1 Investments, LLC reported a transaction involving BJ's Restaurants Inc. (BJRI) common stock.
• The transaction involved the disposition of 35,500 shares of common stock at a price of $33.2529 per share.
• Following the transaction, the reporting entities beneficially own 2,231,396 shares indirectly.
• The reporting entities also entered into cash-settled total return swaps providing economic exposure to 50,000 notional shares of BJRI common stock.
• The swap agreements expire on April 24, 2028, and will automatically extend for successive 12-month periods unless notice is given.

Sentiment

Score: 5

Explanation: The document is a standard SEC filing reporting a transaction. It doesn't inherently convey positive or negative sentiment, but rather provides factual information about ownership changes and derivative positions.

Risks

• The value of the cash-settled total return swaps is dependent on the price of BJ's Restaurants Inc. common stock, creating market risk.
• The automatic extension clause in the swap agreements could lead to continued exposure if not actively managed.

Future Outlook

The document does not contain specific forward-looking statements regarding the company's future performance, but the swap agreements indicate a continued interest in the economic performance of BJ's Restaurants Inc.

Industry Context

Transactions of this nature are common among investment firms and can reflect portfolio adjustments or hedging strategies. The use of cash-settled total return swaps allows for economic exposure without direct ownership of shares.

Comparison to Industry Standards

• Hedge funds and investment firms frequently use total return swaps to gain exposure to equities without directly owning the underlying shares, similar to strategies employed by firms like Pershing Square or Third Point.
• The reported transaction is within the typical range of trading activity observed in publicly listed restaurant companies, comparable to insider transactions seen in companies like Darden Restaurants (DRI) or Texas Roadhouse (TXRH).

Stakeholder Impact

• The transaction could have a minor impact on shareholders due to the change in ownership and potential market reaction.
• The use of swaps may influence the trading volume of BJRI.

Key Dates

Keywords

BJ's Restaurants Inc, BJRI, Fund 1 Investments, PLP Funds Master Fund LP, Pleasant Lake Partners LLC, Common Stock, Cash-Settled Total Return Swap, Beneficial Ownership, Form 4, Transaction