Form 4: Digi Power X President Sells Shares

Digi Power X Inc.'s President and Director, Alec Amar, reported the sale of 27,500 subordinate voting shares at a weighted average price of $2.72.

Summary

• Alec Amar, President and Director of Digi Power X Inc. (DGXX), reported the sale of 27,500 subordinate voting shares on January 2, 2026.
• The shares were sold at a weighted average price of $2.72 per share, with individual trades ranging from $2.53 to $2.80.
• Following this transaction, Alec Amar directly beneficially owns 1,290,616 subordinate voting shares.
• Additionally, Alec Amar indirectly beneficially owns 45,000 subordinate voting shares through Matbrands LLC.
• Alec Amar holds 365,000 fully vested employee stock options with an exercise price of $1.51 (USD, converted from CAD$2.09), exercisable from June 6, 2025, and expiring on June 6, 2030.
• Alec Amar also holds 300,000 fully vested employee stock options with an exercise price of $3.53 (USD, converted from CAD$4.90), exercisable from November 19, 2025, and expiring on November 19, 2030.
• Outstanding restricted stock units include 266,667 shares vesting in two equal annual installments starting February 9, 2026.
• Further restricted stock units include 216,667 shares vesting in two equal annual installments starting December 1, 2026.
• Another set of restricted stock units includes 300,000 shares vesting in three equal annual installments starting November 19, 2026.

Sentiment

Score: 4

Explanation: The sale of shares by a key insider, while potentially for personal reasons, can be interpreted as a lack of strong conviction or a move to diversify, which may be viewed with some caution by the market. It is not a catastrophic event but introduces a slight negative sentiment.

Negatives

• The sale of 27,500 shares by a key insider, the President and Director, may be perceived negatively by the market as it could signal a lack of confidence or a move to diversify personal holdings.

Risks

• Insider selling by a high-ranking executive can sometimes be interpreted by investors as a bearish signal, potentially leading to negative market sentiment or downward pressure on the stock price.

Future Outlook

This filing is a report of an insider transaction and does not contain forward-looking statements or guidance regarding the company's future performance or outlook.

Industry Context

This Form 4 filing reports an individual insider transaction and does not provide broader industry context or analysis. Insider transactions are typically evaluated within the context of overall market conditions and company-specific news.

Related Party Transactions

• Alec Amar's indirect beneficial ownership of 45,000 subordinate voting shares through Matbrands LLC indicates a related party holding, though no transaction related to this indirect holding was reported.

Stakeholder Impact

• Shareholders may interpret the insider sale as a signal regarding management's confidence in the company's near-term prospects, potentially influencing their investment decisions.
• The transaction could lead to increased scrutiny from investors and analysts regarding the company's valuation and future outlook.

Next Steps

• Monitoring the vesting schedules for the various restricted stock units held by Alec Amar, with first installments beginning on February 9, 2026, December 1, 2026, and November 19, 2026, respectively.
• Observing any further insider transactions by Alec Amar or other executives that could indicate a trend in management's sentiment towards the company's stock.

Key Dates

Recommendation

The sale of shares by a key executive like the President and Director, Alec Amar, suggests a potential lack of strong conviction or a move to diversify personal holdings. While not a definitive 'sell' signal on its own, it introduces a degree of caution for investors. The remaining significant direct and indirect holdings, along with substantial derivative securities, indicate continued alignment with the company's performance, but the sale itself warrants a 'hold' stance to monitor further developments and any potential trends in insider activity.

Keywords

Digi Power X, DGXX, Alec Amar, insider trading, Form 4, share sale, beneficial ownership, stock options, restricted stock units, corporate governance