Applied Digital Appoints Ella Benson to Board of Directors

Rhea-AI Summary

Applied Digital (Nasdaq: APLD) appoints Ella Benson as an independent director on its Board of Directors, effective May 6, 2024. Benson, with over a decade of experience in financial services, will also serve as the Chairperson of the Nominating and Governance Committee. Her appointment is part of a Cooperation and Standstill Agreement with Oasis Management Company. The agreement includes restrictions on Oasis' stock ownership and activities during Benson's tenure on the Board.

Positive

• Ella Benson's appointment brings a wealth of financial experience to Applied Digital, enhancing oversight and strategic direction for the company.
• Benson's background in investment management is expected to maximize shareholder value as the company expands its hosting and service offerings, particularly in high-performance computing for hyperscalers and enterprises.

Negative

• Oasis Management Company's restrictions on stock ownership and activities during Benson's tenure might limit certain strategic decisions or actions by the company in the future, potentially affecting flexibility and growth opportunities.

Benson Brings Over a Decade of Experience in Financial Services

Joins the Board as Part of a Cooperation and Standstill Agreement with Oasis Management Company

DALLAS, April 30, 2024 (GLOBE NEWSWIRE) -- Applied Digital Corporation (Nasdaq: APLD) ("Applied Digital" or the "Company"), a designer, builder, and operator of next-generation digital infrastructure designed for High-Performance Computing (HPC) applications, has appointed Ella Benson as an independent director on its Board of Directors (the “Board”), effective May 6, 2024. Ella has also been appointed to serve as Chairperson of the Nominating and Governance Committee.

Ella Benson brings over a decade of experience in financial services and is a Director at Oasis Management Co., Ltd. (“Oasis”). She has substantial experience working with public companies undergoing strategic transitions. Prior to joining Oasis in 2013, Benson was an analyst at GAM, an independent asset management firm, from 2009 to 2013. Benson holds a Bachelor of Business Administration in Finance from the McCombs School of Business at the University of Texas at Austin.

“I’m honored that Ella Benson will join our Board of Directors,” said Wes Cummins, CEO and Chairman of the Board at Applied Digital. Ella’s background in investment management will make her a great asset to our company and our strategic direction as we continue to expand our board of directors to provide oversight.”

“I am pleased to join Applied Digital's Board of Directors,” said Benson. “My extensive financial experience in maximizing shareholder value integrates smoothly as the company continues to expand its hosting and service offerings by providing high-performance computing power to major hyperscalers and other enterprises running AI workloads.”

Ms. Benson joins the Board as part of a Cooperation and Standstill Agreement (the “Agreement”) with Oasis regarding, among other things, the membership and composition of the Board and Oasis’ cessation of further accumulations of the Company’s stock in excess of 9.9% of the Company’s outstanding shares, as well as its curtailment of certain other activities during Ms. Benson’s tenure on the Board, which is contemplated by the Agreement to extend through the date of the Company’s anticipated November 2026 Annual Meeting of Shareholders, or approximately 31 months from the effective date of the Agreement. Additional details about the Agreement are contained in a Form 8-K filed by the Company with the U.S. Securities and Exchange Commission on April 30, 2024.

Oasis has advised the Company that Oasis and its affiliates currently own approximately 5.2 million shares of the Company’s common stock, representing approximately 4.2% of the outstanding shares of the Company’s common stock.

About Applied Digital
Applied Digital (Nasdaq: APLD) designs, develops and operates next-generation data centers across North America to provide digital infrastructure solutions to the rapidly growing high-performance computing (HPC) industry. Find more information at www.applieddigital.com. Follow us on Twitter at @APLDdigital. 

About Oasis Management Company Ltd.
Oasis Management Company Ltd. manages private investment funds focused on opportunities in a wide array of asset classes across countries and sectors. Oasis was founded in 2002 by Seth H. Fischer, who leads the firm as its Chief Investment Officer. More information about Oasis is available at https://oasiscm.com.

Investor Relations Contacts
Matt Glover or Alex Kovtun
Gateway Group, Inc.
(949) 574-3860
APLD@gateway-grp.com

Media Contact
Brenlyn Motlagh or Diana Jarrah
Gateway Group, Inc.
(949) 899-3135
APLD@gateway-grp.com

FAQ

Who has Applied Digital appointed to its Board of Directors recently?

Applied Digital has appointed Ella Benson as an independent director on its Board of Directors, effective May 6, 2024.

What is the role of Ella Benson in the company?

Ella Benson will also serve as the Chairperson of the Nominating and Governance Committee at Applied Digital.

What is the Cooperation and Standstill Agreement mentioned in the press release?

The Cooperation and Standstill Agreement with Oasis includes restrictions on stock ownership and activities during Ella Benson's tenure on the Board.

How long is Ella Benson's tenure on the Board expected to last?

Ella Benson's tenure on the Board is anticipated to extend through the date of the Company’s November 2026 Annual Meeting of Shareholders, approximately 31 months from the effective date of the Agreement.