DRTTF insider: 25,875 deferred share units granted to director
Rhea-AI Filing Summary
Director Adrian Zarate received 25,875 deferred share units (DSUs) under the company long‑term incentive plan on 10/07/2025. Each DSU is economically equivalent to one common share and will settle after Mr. Zarate stops service; US directors have DSUs settled no later than forty days after termination and may receive either shares or a cash equivalent based on the share closing price.
The DSU award was calculated using a Toronto Stock Exchange closing price of C$0.80 on 09/26/2025, converted at a Bank of Canada rate of C$1.3941 = US$1.00, which produced an effective per‑unit US dollar value shown as $0.57. Following the grant, Mr. Zarate beneficially owns 25,875 common‑share equivalents directly.
Positive
- Long‑term alignment: DSUs convert to common shares or cash, aligning director compensation with shareholder value
- Transparent pricing: Grant calculation used a specific TSX closing price (C$0.80) and a named Bank of Canada exchange rate
Negative
- Future dilution or cash need: Settlement in shares or cash on termination could increase share count or require cash outflow upon director departures
- Concentration: A single director holds 25,875 share equivalents, which may be material depending on overall share structure
Insights
Director award of 25,875 DSUs aligns pay with long‑term shareholder value.
The grant of 25,875 DSUs ties the director's future payout to the company's common share value because each DSU converts to one common share or its cash equivalent on termination. Using a market reference price of C$0.80 and the Bank of Canada rate provides a transparent, formulaic basis for the grant size.
This structure reduces immediate dilution and defers compensation until service ends, but eventual share issuance or cash settlement could affect float or cash needs when DSUs vest and are settled; monitor the aggregate DSU pool and timing around director departures over the next 12–36 months for potential share or cash impacts.
Insider Trade Summary
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Grant/Award | Deferred Share Unit | 25,875 | $0.57 | $15K |
Footnotes (1)
- Each deferred share unit ("DSU") was granted pursuant to the DIRTT Environmental Solutions Ltd. Third Amended and Restated Long Term Incentive Plan and is the economic equivalent of one common share (a "Common Share") of DIRTT Environmental Solutions Ltd. (the "Issuer"). All DSUs settle following the cessation of service and employment with the Issuer (the "Termination Date"). For directors who are subject to taxation in the United States ("US Directors"), the DSUs will settle no later than forty days following the Termination Date. Each DSU will be settled in one Common Share or in the cash equivalent of such Common Shares, calculated based on the closing price of the Common Shares on the day prior to the 30th day following separation from service for US Directors. The price used to calculate the number of DSUs granted was C$0.80, which was the closing price Issuer's Common Shares as reported on the Toronto Stock Exchange on September 26, 2025. The price was converted using the Bank of Canada exchange rate for September 26, 2025 of C$1.3941 = US$1.00.
