Form 4: TeraWulf CEO Paul Prager Boosts Stake with 3.5M Share Acquisition

TeraWulf Inc.'s CEO, Paul B. Prager, acquired 3,554,688 shares of common stock indirectly through Riesling Power LLC as prepaid rent, significantly increasing his beneficial ownership.

Summary

• Paul B. Prager, Chief Executive Officer, Director, and a 10% Owner of TeraWulf Inc. (WULF), reported an acquisition of common stock.
• On September 30, 2025, 3,554,688 shares of common stock, with a par value of $0.001 per share, were acquired indirectly through Riesling Power LLC.
• This acquisition was for prepaid rent pursuant to a lease agreement dated October 12, 2025, between Lake Hawkeye LLC (a wholly owned subsidiary of TeraWulf Inc.), Cayuga Operating Company LLC, and Riesling Power LLC.
• Following this transaction, Mr. Prager's total beneficial ownership stands at 44,393,468 shares, comprising 39,654,688 shares indirectly through Riesling Power LLC, 3,795,580 shares indirectly through Beowulf E&D Holdings Inc., 5,000 shares indirectly through Heorot Power Holdings LLC, and 938,700 shares held directly.

Sentiment

Score: 8

Explanation: The CEO's acquisition of a significant number of shares, even as prepaid rent, generally signals strong confidence in the company's valuation and future prospects, which is a positive indicator for investors.

Positives

• Increased beneficial ownership by the CEO, Paul B. Prager, which can signal strong confidence in the company's future prospects and alignment with shareholder interests.
• The acquisition of shares as prepaid rent indicates a strategic financial arrangement that could benefit the company's cash flow or operational stability by securing future obligations with equity.

Negatives

• No direct negative implications are apparent from this Form 4 filing, which primarily reports a change in beneficial ownership.

Risks

• The reporting person disclaims beneficial ownership of shares held by Beowulf E&D Holdings Inc. and Heorot Power Holdings LLC except to the extent of his pecuniary interest, which is a standard legal disclosure for Section 16 purposes and clarifies the extent of his direct financial stake.

Future Outlook

NA

Management Comments

• The shares of common stock were issued to Riesling Power LLC as prepaid rent pursuant to that certain lease agreement, dated as of October 12, 2025, among Lake Hawkeye LLC, a wholly owned subsidiary of TeraWulf Inc., Cayuga Operating Company LLC and Riesling Power.

Industry Context

NA

Related Party Transactions

• The transaction involves Riesling Power LLC, an entity where the reporting person, Paul B. Prager, is deemed to have beneficial ownership through his revocable trust.
• The lease agreement for prepaid rent is between a TeraWulf subsidiary (Lake Hawkeye LLC), Cayuga Operating Company LLC, and Riesling Power LLC, indicating a transaction between entities related to the CEO.

Stakeholder Impact

• Shareholders: Increased insider ownership by the CEO may be viewed positively, signaling management's belief in the company's intrinsic value and future growth.
• Company: The prepaid rent arrangement could provide financial benefits or operational stability by settling future obligations with equity.

Key Dates

Recommendation

The significant increase in beneficial ownership by CEO Paul B. Prager, through the acquisition of over 3.5 million shares, signals strong insider confidence in TeraWulf Inc.'s future performance. This move, particularly as part of a prepaid rent agreement, suggests a strategic commitment and belief in the company's long-term value, making it an attractive signal for potential investors.

Keywords

TeraWulf, WULF, Paul B. Prager, CEO, insider transaction, stock acquisition, beneficial ownership, Form 4, SEC filing, common stock, prepaid rent