Form 4: Madison Square Garden Entertainment Corp. Director Receives Restricted Stock Units

Thomas C. Dolan, a director at Madison Square Garden Entertainment Corp., was granted 4,353 restricted stock units that will convert to Class A Common Stock or cash after separation from service.

Summary

• Thomas C. Dolan, a director of Madison Square Garden Entertainment Corp., received 4,353 restricted stock units (RSUs) on December 11, 2024.
• These RSUs were granted under the company's 2023 Stock Plan for Non-Employee Directors.
• Each RSU represents the right to receive one share of Class A Common Stock or the cash equivalent.
• The RSUs are fully vested on the grant date.
• Settlement of the RSUs, either in stock or cash, will occur on the first business day 90 days after Dolan's separation from service.
• Following this transaction, Dolan directly owns 12,989 derivative securities.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction of equity compensation for a director, which is generally viewed positively as it aligns interests. There are no negative implications.

Positives

• The grant of RSUs aligns the director's interests with those of the shareholders.
• The immediate vesting of the RSUs indicates a commitment to the director's long-term involvement.

Future Outlook

The RSUs will be settled in stock or cash 90 days after the director's separation from service.

Industry Context

This type of equity compensation is common for directors of publicly traded companies, aligning their interests with shareholders.

Comparison to Industry Standards

• Granting restricted stock units to directors is a standard practice across publicly listed companies, including those in the entertainment and media sector.
• Companies like Live Nation Entertainment (LYV) and AMC Entertainment (AMC) also use equity-based compensation for their board members.
• The vesting and settlement terms of these grants are generally similar, with vesting often tied to service periods or performance milestones, and settlement occurring after a defined period or upon separation from service.

Stakeholder Impact

• The grant of RSUs to a director aligns their interests with shareholders, potentially encouraging decisions that benefit the company's long-term value.
• The transaction has no immediate impact on employees, customers, suppliers, or creditors.

Key Dates

Keywords

Restricted Stock Units, RSU, Stock Grant, Director Compensation, Equity Compensation, Madison Square Garden Entertainment Corp., MSGE, Class A Common Stock