Form 4: Innventure Inc. Executive Chairman Michael Otworth Reports Beneficial Ownership Changes

Michael Otworth, Executive Chairman of Innventure, Inc., reports changes in beneficial ownership of common stock and Series C Preferred Stock following milestone achievements and a pro rata distribution.

Summary

• Michael Otworth, the Executive Chairman of Innventure, Inc., filed a Form 4 detailing changes in his beneficial ownership of the company's securities.
• The reported transactions include the acquisition of 154,829 shares of common stock and 2,131 shares held by Innventure1 LLC due to the achievement of a milestone under the Business Combination Agreement.
• Innventure1 LLC distributed its shares of common stock pro rata, resulting in Otworth receiving 7,126 shares directly and other members receiving 51,207 shares.
• Otworth also acquired 114,161 shares of Series C Preferred Stock in satisfaction of a loan made to Innventure LLC, and received a cash payment of $180,042 from the Issuer in satisfaction of the loan.
• The Series C Preferred Stock is convertible into common stock at a rate dependent on the Reset Conversion Price, which is the greater of $5.00 and the 10-day volume-weighted average Nasdaq Stock Market official closing price of the Common Stock, but no more than $12.50.

Sentiment

Score: 6

Explanation: The document primarily reflects routine transactions and compliance filings. The milestone achievement is a positive signal, but the overall sentiment is neutral.

Positives

• The achievement of a milestone under the Business Combination Agreement triggered the issuance of common stock, suggesting progress in the company's strategic objectives.
• The acquisition of Series C Preferred Stock in satisfaction of a loan indicates a potential strengthening of the company's financial position.

Industry Context

Form 4 filings are standard practice for reporting changes in beneficial ownership by company insiders, providing transparency to investors.

Related Party Transactions

• The issuance of Series C Preferred Stock to Michael Otworth in satisfaction of a loan to Innventure LLC constitutes a related party transaction.

Stakeholder Impact

• The changes in beneficial ownership may have a minor impact on shareholder sentiment, depending on how the market interprets the milestone achievement and insider transactions.

Key Dates

Keywords

beneficial ownership, Form 4, Innventure, Michael Otworth, common stock, Series C Preferred Stock, milestone achievement, Business Combination Agreement, Innventure1 LLC, pro rata distribution