Form 4: Golden Matrix Group CEO's Restricted Stock Units Amended Following Fiscal Year Change

Anthony Brian Goodman, CEO of Golden Matrix Group, had the terms of his restricted stock units amended to align with the company's new fiscal year end of December 31st.

Summary

• Anthony Brian Goodman, CEO of Golden Matrix Group, filed a Form 4 detailing changes in his beneficial ownership.
• The filing reflects an amendment to the terms of Goodman's restricted stock units (RSUs) due to the company's change in fiscal year from October 31st to December 31st.
• The RSUs vest upon meeting certain revenue and adjusted EBITDA targets, with half vesting based on results as of October 31, 2024, and the other half based on results as of December 31, 2024.
• Goodman directly owns 8,654,079 shares of common stock.
• He also indirectly owns 7,470,483 shares through Luxor Capital LLC.
• Goodman is part of a voting group that collectively owns more than 10% of the company's outstanding shares, but he disclaims beneficial ownership of securities owned by other members of the group.

Sentiment

Score: 6

Explanation: The document is neutral in tone, detailing routine changes in beneficial ownership and RSU terms. The sentiment is slightly positive as it aligns executive incentives with company performance.

Positives

• The adjustment of RSU terms aligns executive incentives with the company's new fiscal year, potentially improving focus on long-term performance.

Risks

• The vesting of RSUs is contingent on meeting specific revenue and adjusted EBITDA targets, creating potential risk if these targets are not achieved.

Future Outlook

The vesting of the RSUs is dependent on the company meeting certain revenue and Adjusted EBITDA targets by December 31, 2024, which will be disclosed in the company's Annual Report on Form 10-K.

Management Comments

• The Board of Directors approved an amendment to the terms of the restricted stock units (RSUs) previously granted to Mr. Goodman to adjust such RSUs from vesting, if at all, based on the financial results of the Issuer as of October 31, 2024, to be based on the Issuer's financial results for the year ended December 31, 2024, as a result of the Issuer's recent change in fiscal year from October 31st to December 31st.

Industry Context

This filing is a routine disclosure related to executive compensation and beneficial ownership, common in publicly traded companies. The adjustment of RSU terms to align with the fiscal year is a standard practice.

Comparison to Industry Standards

• RSUs are a common form of equity compensation used across the industry to align executive incentives with company performance.
• Vesting based on revenue and EBITDA targets is also a standard practice to incentivize financial performance.
• Companies like DraftKings and Penn National Gaming also use similar equity-based compensation plans for their executives.

Stakeholder Impact

• Shareholders may view the alignment of executive incentives with the company's fiscal year positively.
• Employees may be indirectly affected by the executive's focus on achieving the financial targets required for RSU vesting.

Next Steps

• The company will need to meet the specified revenue and Adjusted EBITDA targets for the RSUs to vest.
• The company will disclose the operating results in its Annual Report on Form 10-K.

Key Dates