Form 4: J.R. Simplot Co Acquires Additional Shares of SemiLEDs Corp Through Loan Agreement

J.R. Simplot Co, a 10% owner of SemiLEDs Corp, acquired 722,891 shares of common stock as payment of principal pursuant to a loan agreement.

Summary

• On February 28, 2025, Simplot Taiwan Inc. (ST), a wholly-owned subsidiary of J.R. Simplot Co, received 722,891 shares of SemiLEDs Corp common stock.
• These shares were received as payment of principal under a loan agreement between SemiLEDs Corp and J.R. Simplot Company (JRS), dated January 8, 2019, and subsequently amended multiple times.
• The loan agreement was assigned by JRS to ST.
• Following the transaction, J.R. Simplot Co is deemed to beneficially own 3,168,190 shares of SemiLEDs Corp common stock indirectly through ST.

Sentiment

Score: 5

Explanation: The sentiment is neutral as it reflects a routine transaction related to a loan agreement. There's no indication of significant positive or negative implications.

Industry Context

This transaction reflects ongoing financial relationships between SemiLEDs Corp and its major shareholders. Such arrangements are common in smaller companies seeking funding.

Comparison to Industry Standards

• It's difficult to compare this specific transaction to industry standards without knowing the specifics of the loan agreement and the financial health of SemiLEDs Corp.
• However, similar arrangements can be seen in other small-cap companies where major shareholders provide debt financing.
• For example, a company like Cree (now Wolfspeed) in its early stages might have relied on similar arrangements.

Related Party Transactions

• The transaction involves a loan agreement between SemiLEDs Corp and J.R. Simplot Company, with subsequent assignment to Simplot Taiwan Inc., a wholly-owned subsidiary of J.R. Simplot Co.

Stakeholder Impact

• The transaction increases J.R. Simplot Co's stake in SemiLEDs Corp, potentially influencing future decisions.
• The loan agreement provides SemiLEDs Corp with financing, which could benefit the company's operations and growth.

Key Dates