Form 4: MCG7 Capital Inc. Converts Class B Shares to Class A in Braze, Inc.

MCG7 Capital Inc. converted 4,278,960 Class B common shares of Braze, Inc. into Class A common shares.

Summary

• MCG7 Capital Inc., along with its subsidiaries Binder Clip Holdings LLC and Appboy BH LLC, converted 4,278,960 shares of Class B Common Stock of Braze, Inc. into Class A Common Stock.
• This conversion was executed on November 13, 2024.
• Following the conversion, MCG7 Capital Inc. indirectly beneficially owns 8,634,408 shares of Class A Common Stock.
• The Class B shares were converted at a 1:1 ratio to Class A shares.
• The conversion was at the option of the holder.

Sentiment

Score: 7

Explanation: The document reflects a standard corporate action, with no indication of negative or positive sentiment. The conversion is a neutral event from an investment perspective.

Positives

• The conversion simplifies the share structure of Braze, Inc.
• The conversion was at the option of the holder, indicating a strategic decision by MCG7 Capital Inc.

Management Comments

• Each director of MCG7, each manager of Binder, and each manager of Appboy disclaims beneficial ownership of such securities.

Industry Context

This type of share conversion is not uncommon, especially for companies with dual-class share structures. It often occurs as companies mature or when certain conditions are met.

Comparison to Industry Standards

• Dual-class share structures are common in the tech industry, with companies like Google (Alphabet) and Meta (Facebook) having similar structures.
• The conversion of Class B to Class A shares is a standard mechanism to simplify the capital structure and potentially increase liquidity.
• The 1:1 conversion ratio is typical for these types of conversions.

Stakeholder Impact

• The conversion may have a minor positive impact on shareholders by simplifying the share structure.
• The conversion does not have a direct impact on employees, customers, suppliers, or creditors.

Key Dates

Keywords

Class A Common Stock, Class B Common Stock, Share Conversion, Beneficial Ownership, MCG7 Capital Inc., Braze, Inc., Binder Clip Holdings LLC, Appboy BH LLC