Form 4: SGD Director Converts Preferred Stock to Common Shares

James D Burnham, a Director and 10% owner of Safe & Green Development Corp, converted 191,891 shares of Series A Convertible Preferred Stock into 1,151,346 shares of common stock.

Summary

• James D Burnham, a Director and 10% Owner of Safe & Green Development Corp (SGD), completed a conversion transaction on October 13, 2025.
• Burnham converted 191,891 shares of Series A Convertible Preferred Stock into 1,151,346 shares of the Issuer's common stock.
• Each share of Series A Convertible Preferred Stock is convertible into six shares of common stock, subject to Nasdaq rules.
• Following this transaction, Burnham beneficially owns 1,246,110 shares of common stock directly.
• Burnham also beneficially owns 185,334 shares of Series A Convertible Preferred Stock directly after the conversion.
• The conversion of Series A Preferred Stock into common stock has no expiration date.

Sentiment

Score: 7

Explanation: The conversion of preferred stock to common stock by a significant insider (Director and 10% owner) is generally viewed as a positive signal, indicating increased alignment with common shareholders and confidence in the company's long-term value. It's a planned event, not an open market purchase, but still reflects a positive stance.

Positives

• Increased direct common stock ownership by a Director and 10% owner, which can signal confidence in the company's future prospects.
• Simplification of the capital structure for the insider by converting preferred shares into common shares.

Risks

• The conversion of Series A Convertible Preferred Stock into common stock is subject to compliance with Nasdaq rules.

Future Outlook

There is no expiration date related to the conversion of shares of the Issuer's Series A Preferred into shares of Issuer's Common Stock.

Industry Context

Insider conversions of preferred stock to common stock are a common occurrence, often reflecting a long-term investment perspective or a strategic move to simplify an insider's equity holdings. Such actions can be viewed by the market as a signal of confidence in the company's future performance.

Corporate Governance

Related Party Transactions

• The conversion of Series A Convertible Preferred Stock by James D Burnham, a Director and 10% owner, constitutes an insider transaction.

Stakeholder Impact

• Shareholders: The increased direct common stock holdings by a significant insider may be perceived as a positive indicator of management's confidence in the company's future, potentially influencing investor sentiment.

Key Dates

Recommendation

The conversion of preferred stock to common stock by a director and 10% owner, James D Burnham, increases his direct common stock holdings, which can be interpreted as a sign of confidence in the company's future. While not a direct market purchase, it simplifies his equity position and aligns his interests more closely with common shareholders. This action alone does not fundamentally change the company's outlook but provides a positive signal, suggesting a 'hold' recommendation for existing investors.

Keywords

Safe & Green Development Corp, SGD, Form 4, insider transaction, stock conversion, Series A Preferred Stock, common stock, beneficial ownership, James D Burnham, corporate governance