Form 4: Rimini Street EVP Michael Perica Awarded Performance Units Based on 2023 Financial Goals

Michael L. Perica, EVP & CFO of Rimini Street, received 153,689 performance units convertible to common stock based on the company's 2023 financial performance.

Summary

• Michael L. Perica, the EVP & Chief Financial Officer of Rimini Street, Inc., was granted 153,689 performance units on February 28, 2024.
• These performance units are based on Rimini Street's achievement of target adjusted EBITDA and total revenue goals for fiscal year 2023.
• Each performance unit represents a contingent right to receive one share of Rimini Street's common stock upon vesting.
• The performance units are subject to additional time-based vesting requirements and will vest in three equal installments on April 3, 2024, April 3, 2025, and April 3, 2026, contingent upon continued service.

Sentiment

Score: 7

Explanation: The document indicates that the company achieved its target adjusted EBITDA and total revenue goals for fiscal year 2023, which is a positive sign. The vesting schedule also suggests a long-term commitment from the CFO.

Positives

• The granting of performance units to the CFO suggests the company met certain financial targets for 2023, specifically adjusted EBITDA and total revenue goals.
• The vesting schedule incentivizes the CFO to remain with the company for the next three years.

Risks

• The performance units are subject to vesting requirements, meaning the recipient must remain employed by the company to fully realize their value.
• The value of the performance units is tied to the price of Rimini Street's common stock, which can fluctuate.

Future Outlook

The vesting schedule of the performance units extends to April 2026, indicating a long-term incentive plan for the CFO.

Industry Context

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

Comparison to Industry Standards

• Equity compensation, including performance units, is a common practice in the technology industry to align management's interests with those of shareholders.
• Companies like Oracle and SAP also use similar long-term incentive plans to retain key executives and drive performance.

Stakeholder Impact

• Shareholders may view the achievement of financial targets and the incentivization of the CFO as positive developments.
• Employees may be motivated by the company's success in achieving its financial goals.

Next Steps

• The performance units will vest in three equal installments on April 3, 2024, April 3, 2025 and April 3, 2026, subject to continued service.

Key Dates