Form 4: SurgePays Director Richard Schurfeld Receives 50,000 Restricted Stock Award

SurgePays, Inc. Director Richard Earl Schurfeld was granted 50,000 restricted shares of common stock as part of the company's 2022 Omnibus Securities and Incentive Plan.

Summary

• Richard Earl Schurfeld, a Director of SurgePays, Inc. (SURG), acquired 50,000 restricted shares of common stock on May 22, 2025.
• These shares were issued under the SurgePays, Inc. 2022 Omnibus Securities and Incentive Plan and a Restricted Share Award Agreement.
• The shares were granted at a price of $0, indicating an equity award rather than a cash purchase.
• Following this transaction, Mr. Schurfeld directly beneficially owns a total of 97,501 shares.
• The shares will vest upon the earliest of the director no longer serving (unless for cause), a change in control of the company, or August 8, 2028.

Sentiment

Score: 6

Explanation: Slightly positive as it indicates alignment of director interests with shareholders through equity compensation, but neutral regarding the company's operational or financial performance.

Positives

• The issuance of restricted shares to a director aligns the director's interests with those of the shareholders, as the value of the award is tied to the company's stock performance.
• Equity-based compensation is a common practice to incentivize long-term commitment and performance from key personnel.

Negatives

• No specific negative financial or operational information is disclosed in this Form 4 filing.

Risks

• The document itself does not detail specific risks to the company's operations or financial health. It only outlines the vesting conditions for the awarded shares.

Future Outlook

The restricted shares are subject to future vesting conditions, including continued service, a change in control, or a specific date of August 8, 2028, indicating a long-term incentive structure for the director.

Management Comments

• No direct quotes from management are provided in this regulatory filing.

Industry Context

The granting of restricted stock units or shares to directors and executives is a standard practice across various industries, particularly in publicly traded companies, to align management incentives with shareholder value creation and to retain talent.

Comparison to Industry Standards

• The use of restricted share awards as a form of director compensation is a common and widely accepted practice in corporate governance.
• While specific award sizes vary by company size, industry, and individual roles, the mechanism itself is standard. For example, similar equity incentive plans are utilized by companies like AT&T (T) for their directors, often tying vesting to service periods or performance metrics.
• Without specific details on SurgePays' overall compensation philosophy or peer group comparisons, a direct quantitative comparison is not feasible from this document alone.

Corporate Governance

Related Party Transactions

• The transaction involves the issuance of restricted shares by SurgePays, Inc. to Richard Earl Schurfeld, a director of the company, which constitutes a related party transaction.

Stakeholder Impact

• Shareholders: The equity award to a director can be viewed positively as it aligns the director's financial interests with the long-term performance of the company's stock, potentially encouraging decisions that enhance shareholder value.
• Employees: No direct impact on general employees is indicated by this specific filing.

Next Steps

• Continued service of Richard Earl Schurfeld as a director of SurgePays, Inc.
• Monitoring for the vesting of the restricted shares based on the specified conditions (cessation of service, change in control, or August 8, 2028).

Key Dates

Keywords

SurgePays, SURG, Form 4, insider transaction, restricted stock, equity award, director compensation, beneficial ownership, stock plan, incentive plan