Form 4: GEG President Awarded Restricted Stock

Great Elm Group, Inc. President Adam M. Kleinman received a restricted stock award and subsequently disposed of shares for tax obligations.

Summary

• Adam M. Kleinman, President of Great Elm Group, Inc., was awarded 22,977 shares of restricted common stock on September 19, 2025.
• The award price was $0 per share, reflecting an equity incentive.
• One-quarter of these shares vested on the grant date, with the remaining shares vesting in equal annual installments on September 20th of each year until September 20, 2028, subject to continued employment.
• On September 23, 2025, Mr. Kleinman disposed of 18,313 shares of common stock at a price of $2.8 per share.
• This disposition was for the net share settlement of restricted stock awards in connection with vesting, primarily for tax withholding purposes.
• Following these transactions, Mr. Kleinman's direct beneficial ownership stands at 585,394 shares of common stock.

Sentiment

Score: 6

Explanation: Slightly positive due to increased insider ownership and long-term incentive alignment, despite the tax-related disposition.

Positives

• Increased alignment between management and shareholder interests through equity compensation.
• The restricted stock award incentivizes long-term commitment and performance from the President.
• The vesting schedule ties a significant portion of the award to future employment and performance.

Negatives

• A portion of shares (18,313) was disposed of, reducing the immediate increase in beneficial ownership, although this was for tax purposes.

Risks

• The vesting of the restricted stock is contingent on Mr. Kleinman's continued employment by Great Elm Group, Inc.

Future Outlook

The vesting schedule for the restricted stock award extends until September 20, 2028, contingent on continued employment, indicating a long-term incentive structure for the President.

Industry Context

This filing reflects a routine executive compensation event within the financial services industry, where equity awards are common for aligning management incentives with shareholder interests. It does not provide broader industry trends.

Stakeholder Impact

• Shareholders: Increased alignment of management's financial interests with shareholder value creation through equity ownership.
• Employees: The compensation structure for a key executive may influence overall compensation philosophy and morale.

Next Steps

• Remaining restricted stock will vest in equal annual installments on September 20th of each year until September 20, 2028.

Key Dates

Keywords

Great Elm Group, GEG, Adam M. Kleinman, Restricted Stock, Insider Trading, Form 4, Equity Compensation, Executive Compensation, Share Ownership