Form 4: Rithm Capital Corp. Acquires Shares of Great Ajax Corp. as Management Fee Payment

Rithm Capital Corp. reports acquisition of Great Ajax Corp. shares as payment for quarterly management fees.

Summary

• Rithm Capital Corp. filed a Form 4 detailing changes in beneficial ownership of Great Ajax Corp. shares.
• On October 18, 2024, Rithm Capital Corp. acquired 441,783 shares of Great Ajax Corp. common stock at a price of $3.19 per share.
• These shares were issued to RCM GA Manager LLC, an affiliate of Rithm Capital Corp., as payment for the quarterly management fee.
• RCM GA Manager LLC has the option to receive the management fee in cash or shares of Great Ajax Corp.'s common stock.
• Following the transaction, Rithm Capital Corp. indirectly owns 441,783 shares and directly owns 2,874,744 shares.
• Rithm Capital Corp. disclaims beneficial ownership of the indirectly held shares except to the extent of its pecuniary interest.

Sentiment

Score: 6

Explanation: The sentiment is neutral as it reflects a routine transaction related to management fee payment. There are no explicit positive or negative implications.

Positives

• The acquisition of shares as payment for services can be seen as a positive sign of alignment between the manager and the company.
• The option for the Adviser to receive the management fee in cash or shares of Great Ajax Corp.'s common stock provides flexibility.

Industry Context

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

Related Party Transactions

• The transaction involves RCM GA Manager LLC, an affiliate of Rithm Capital Corp., indicating a related party transaction.

Stakeholder Impact

• The transaction could have a minor impact on shareholders due to the issuance of new shares, potentially diluting existing ownership.

Key Dates