Form 4: Carlyle Group CEO Harvey Schwartz Acquires Shares Through Dividend Equivalent Units

Harvey Schwartz, CEO of Carlyle Group Inc., acquired 49,508 shares of common stock on August 26, 2024, through dividend equivalent units.

Summary

• On August 26, 2024, Harvey M. Schwartz, the CEO of Carlyle Group Inc., acquired 49,508 shares of common stock.
• The acquisition was made through dividend equivalent units accrued on existing restricted stock unit awards.
• These awards were initially granted on February 15, 2023.
• The dividend equivalent units vest on the same schedule and are subject to the same terms as the underlying awards.
• Following the transaction, Schwartz directly owns 7,092,384 shares of Carlyle Group Inc.
• The price per share for the acquisition is $0.00, reflecting the nature of dividend equivalent units.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. The transaction reflects standard executive compensation practices and alignment with shareholder interests.

Positives

• The acquisition of shares by the CEO through dividend equivalent units demonstrates alignment with shareholder interests.
• The vesting schedule of the dividend equivalent units mirrors the original awards, reinforcing long-term commitment.

Future Outlook

The dividend equivalent units will vest on the same schedule and subject to the same terms and conditions as the underlying awards, indicating a continued alignment of executive compensation with company performance.

Industry Context

This type of equity compensation is common in the financial industry to align executive interests with those of shareholders. Dividend equivalent units are often used in conjunction with restricted stock units to provide executives with the same dividend benefits as common shareholders during the vesting period.

Comparison to Industry Standards

• Equity compensation, including restricted stock units and dividend equivalent units, is a standard practice among publicly traded companies, particularly in the financial sector.
• Companies like Blackstone (BX) and KKR also utilize similar compensation structures to incentivize and retain key executives.
• The specific terms and conditions of these awards, such as vesting schedules and performance metrics, can vary widely based on company-specific goals and industry benchmarks.

Stakeholder Impact

• The acquisition of shares by the CEO can positively influence shareholder confidence by demonstrating a commitment to the company's success.

Key Dates