[SCHEDULE 13D/A] Atlantic International Corp. SEC Filing
Rhea-AI Filing Summary
Jeffrey Jagid, CEO and director of Atlantic International Corp. (ATLN), reports beneficial ownership of 7,221,025 shares, representing 11.6% of the outstanding common stock. The position reflects shares received under an Executive Employment Agreement related to the issuer's merger activity: 3,735,169 shares were issued upon the merger, 2,885,856 restricted stock units previously granted were noted as issued in error and returned, and the board approved an additional 1,000,000 restricted shares. On the same date as the board award, Mr. Jagid gifted 200,000 shares to each of two brothers. The reporting person disclaims any arrangements, and no legal proceedings or special agreements are disclosed.
Positive
- None.
Negative
- None.
Insights
TL;DR: CEO holds a meaningful 11.6% stake with sole voting power; recent equity grants and an RSU issuance error merit attention.
Mr. Jagid's reported 11.6% ownership and sole voting/dispositive power concentrate influence in management. The share composition includes merger-related consideration and a board-approved award of 1,000,000 restricted shares, increasing his economic exposure. The disclosure that 2,885,856 RSUs were "issued in error and returned" is an operational control lapse that reduced outstanding shares temporarily and may affect historical share-count disclosures. The two 200,000-share gifts to family members are disclosed as exempt transactions, which modestly dilute direct beneficial ownership while keeping shares within close family.
TL;DR: Significant executive ownership aligns management and shareholders, but an RSU issuance error raises governance and control questions.
The CEO's concentrated ownership aligns incentives but centralizes authority. The Board-authorized additional restricted shares indicate formal compensation review and ratification of senior management equity. The RSU misissuance and subsequent return suggest weaknesses in grant administration or recordkeeping that the company should clarify in controls disclosures. Gifts to immediate family are transparent and reported as exempt, reducing direct CEO holdings but not eliminating insider influence.