Form 4: Rimini Street Executive Kevin Maddock Reports Acquisition of Performance Units

Kevin Maddock, EVP and Chief Recurring Revenue Officer of Rimini Street, reports the acquisition of 13,602 performance units convertible to common stock based on the company's 2024 performance.

Summary

• Kevin Maddock, an executive at Rimini Street, filed a Form 4 disclosing changes in beneficial ownership.
• The report indicates the acquisition of 13,602 performance units on February 27, 2025, which are convertible to common stock.
• These performance units were earned based on Rimini Street's achievement against target Adjusted EBITDA and Total Revenue goals for fiscal year 2024.
• The performance units are subject to additional time-based vesting requirements, vesting in three equal installments on May 6, 2025, May 6, 2026, and May 7, 2027.
• The vesting is contingent upon Maddock continuing to be a service provider through the applicable vesting date.
• Following the reported transaction, Maddock directly owns 116,968 shares of common stock and 13,602 performance units.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. The acquisition of performance units suggests the company met its financial targets, which is a positive sign. However, it's a routine filing and doesn't indicate a major shift in the company's outlook.

Positives

• The acquisition of performance units suggests that Rimini Street met certain financial targets for fiscal year 2024, specifically related to Adjusted EBITDA and Total Revenue.
• The vesting schedule incentivizes continued service from the executive.

Risks

• The value of the performance units is contingent on Rimini Street's stock price and Maddock's continued employment with the company.
• Failure to meet future performance targets could impact the value of the vested shares.

Future Outlook

The performance units are subject to time-based vesting requirements over the next few years, contingent on continued service.

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, which Rimini Street competes with, also utilize similar compensation structures for their executives.

Stakeholder Impact

• Shareholders may view the acquisition of performance units as a positive sign, indicating that management is incentivized to improve company performance.
• Employees may be motivated by the company's achievement of its financial targets.

Next Steps

• The executive will need to continue meeting the service requirements to vest the performance units.
• Investors will monitor future filings to track changes in insider ownership.

Key Dates