Leader's Advantage CEO reports 4,312,500 founder shares
Form 3 discloses that the CEO, through the sponsor, indirectly holds 4,312,500 founder shares that convert into Class A stock at the initial business combination.
Rhea-AI Filing Summary
Leader's Advantage Acquisition Corp. (LEDRU) reported initial insider and major holder positions. Chief Executive Officer and director Dr. Paritosh M. Chakrabarti, through Leader's Advantage Company, LLC (the Sponsor), is a ten percent owner with 4,312,500 shares of Class B common stock indirectly held, which are convertible into Class A common stock on a one-for-one basis at the time of the initial business combination. The Sponsor paid $25,000 for these founder shares on January 13, 2026, and 562,500 shares are subject to forfeiture if the underwriters do not fully exercise their over-allotment option; Dr. Chakrabarti may be deemed the beneficial owner but disclaims beneficial ownership where he has no pecuniary interest.
Positive
- None.
Negative
- None.
Insights
Analyzing...
Insider Trade Summary
1 transaction reported
Mixed
1 txn
Insider
Chakrabarti Paritosh M., Leader's Advantage Company, LLC
Role
Chief Executive Officer | 10% Owner
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| holding | Class B Common Stock F1, F2 | -- | -- | -- |
Holdings After Transaction:
Class B Common Stock — 4,312,500 contracts (Indirect, See footnote)
Footnotes (2)
- F1. As described in the registrant's registration statement on Form S-1 under the heading "Description of Securities-Founder Shares," the shares of Class B common stock will automatically convert into shares of Class A common stock at the time of the registrant's initial business combination on a one-for-one basis subject to certain adjustments and have no expiration date.
- F2. On January 13, 2026, Leader's Advantage Company, LLC (the "Sponsor") paid $25,000 for an aggregate of 4,312,500 Class B ordinary shares of the registrant. Dr. Paritosh M. Chakrabarti is the sole managing member of the Sponsor and holds voting and dispositive control over the shares held by the Sponsor and may be deemed the beneficial owner of such shares. These shares include an aggregate of 562,500 shares that are subject to forfeiture to the extent that the underwriters do not exercise their over-allotment option in connection with the registrant's initial public offering in full. Dr. Chakrabarti disclaims beneficial ownership over any securities owned by the Sponsor in which he does not have any pecuniary interest.
Key Figures
Class B founder shares held indirectly: 4,312,500 shares
Aggregate purchase price for founder shares: $25,000
Shares subject to forfeiture: 562,500 shares
+1 more
4 metrics
Class B founder shares held indirectly
4,312,500 shares
Class B common stock held by the sponsor, convertible into Class A on a one-for-one basis
Aggregate purchase price for founder shares
$25,000
Amount paid by the sponsor on January 13, 2026 for 4,312,500 Class B shares
Shares subject to forfeiture
562,500 shares
Founder shares forfeitable if underwriters do not fully exercise their over-allotment option
Underlying Class A shares on conversion
4,312,500 shares
Number of Class A shares issuable upon one-for-one conversion of Class B founder shares
Key Terms
Class B common stock, initial business combination, over-allotment option, beneficial owner, +1 more
5 terms
Class B common stock financial
"the shares of Class B common stock will automatically convert"
A class B common stock is one of multiple types of a company’s ordinary shares that carries specific rights—often different voting power or dividend priority—compared with other classes. For investors it matters because those differences affect how much influence you have over company decisions, the income you might receive, and how freely the shares trade; think of it like owning a car with different keys: some keys let you start the engine and open the trunk, others only unlock the door.
initial business combination financial
"will automatically convert into shares of Class A common stock at the time of the registrant's initial business combination"
An initial business combination is the deal in which a special-purpose acquisition company (SPAC) merges with or acquires an operating business to bring that business onto public markets. Think of the SPAC as an empty shell that raises money from investors, then uses that cash to buy a private company—this transaction turns the private company into a public one and often changes its ownership, valuation, and access to capital, so investors should watch for shifts in risk, future growth prospects, and shareholder rights.
over-allotment option financial
"subject to forfeiture to the extent that the underwriters do not exercise their over-allotment option"
An over-allotment option is a special agreement that allows underwriters to sell more shares than initially planned if demand is high. Think of it like a retailer offering extra units of a popular product to meet additional customer interest. This option helps ensure the full sale is completed and can also give investors extra shares if they want more.
beneficial owner financial
"may be deemed the beneficial owner of such shares"
A beneficial owner is the person who ultimately owns or controls a financial asset or property, even if their name isn't directly on official documents. Think of it like someone who secretly holds the keys to a safe deposit box—others may appear to have access, but the true owner is the one who benefits from what's inside. Identifying beneficial owners helps ensure transparency and prevent illegal activities like money laundering or fraud.
pecuniary interest financial
"disclaims beneficial ownership over any securities owned by the Sponsor in which he does not have any pecuniary interest"
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What insider ownership does LEDRU disclose in this Form 3?
The filing discloses that the sponsor, Leader's Advantage Company, LLC, holds 4,312,500 Class B common shares, all indirectly attributable to the Chief Executive Officer, who is a ten percent owner, director, and officer, subject to the footnoted beneficial ownership disclaimer.
What is Dr. Paritosh M. Chakrabarti’s role and ownership relationship to LEDRU?
Dr. Paritosh M. Chakrabarti is the Chief Executive Officer, a director, and a ten percent owner. He is the sole managing member of the sponsor and has voting and dispositive control over the sponsor’s shares, and may be deemed the beneficial owner, subject to his pecuniary-interest disclaimer.
AI-generated analysis. How Rhea-AI works. Not financial advice.
