Rush Street Interactive insider sale: 193,905 shares sold under 10b5-1
Rhea-AI Filing Summary
Richard Todd Schwartz, CEO and Director of Rush Street Interactive, Inc. (RSI), exchanged 193,905 Class A common units of RSI LP for 193,905 shares of Class A common stock on 09/08/2025, which triggered the cancellation of an equivalent number of Class V voting shares held by him. On 09/08/2025 and 09/09/2025 he sold a total of 193,905 shares of Class A common stock pursuant to a 10b5-1 plan dated August 16, 2024, at weighted average prices of $20.8764 and $20.8682 respectively. After these transactions he beneficially owned 1,017,471 shares of Class A common stock and 5,546,112 shares of Class V voting stock (which carry voting rights but no economic rights). The Form 4 was signed by an attorney-in-fact on 09/09/2025.
Positive
- Transactions were disclosed on Form 4, showing regulatory compliance with Section 16 reporting requirements.
- Sales were executed pursuant to a documented 10b5-1 plan dated August 16, 2024, indicating pre-established trade instructions.
- Exchange of RSI LP units into Class A shares followed the Amended and Restated Limited Partnership Agreement mechanics described in the filing.
Negative
- The reporting person sold a total of 193,905 Class A shares, reducing direct Class A holdings (from amounts implied by pre-sale totals).
- The filing shows large remaining holdings in Class V voting stock (5,546,112 shares), which carry voting but no economic rights, a structural concentration of voting power.
Insights
TL;DR: Insider converted units to public shares then sold 193,905 shares under a pre-established 10b5-1 plan; holdings remained substantial.
The reporting person exchanged 193,905 RSI LP Class A units for the same number of Class A shares and concurrently had an equivalent number of Class V voting shares canceled. Subsequently, the reporting person sold the exchanged shares in multiple transactions executed under a 10b5-1 plan dated August 16, 2024, with reported weighted average prices of $20.8764 and $20.8682. Post-transaction beneficial ownership is reported as 1,017,471 Class A shares and 5,546,112 Class V voting shares. These disclosures are procedural and consistent with an insider following an automated sale plan and an exchange provision in the limited partnership agreement.
TL;DR: Transactions reflect contractual exchange mechanics and rule-compliant insider sales under a 10b5-1 plan.
The Form 4 shows an exchange permitted by the Amended and Restated Limited Partnership Agreement of RSI LP and subsequent sales executed pursuant to a documented 10b5-1 plan. The filing discloses cancellation of equivalent Class V voting shares upon exchange and specifies that Class V shares confer voting rights but no economic rights. The signature is by an attorney-in-fact, and footnotes provide price ranges for the multiple sale executions. From a governance perspective, the filing provides the required transparency about conversion and planned dispositions.
Insider Trade Summary
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Sale | Class A Common Stock | 57,167 | $20.8682 | $1.19M |
| Conversion | Class A Common Units of Rush Street Interactive, L.P. | 193,905 | $0.00 | -- |
| Conversion | Class A Common Stock | 193,905 | $0.00 | -- |
| Disposition | Class V Voting Stock | 193,905 | $0.00 | -- |
| Sale | Class A Common Stock | 136,738 | $20.8764 | $2.85M |
Footnotes (1)
- On September 8, 2025, the reporting person exchanged, pursuant to the Amended and Restated Limited Partnership Agreement of Rush Street Interactive, LP ("RSI LP"), 193,905 Class A Common Stock Units ("RSI Units") for 193,905 shares of Class A Common Stock of the Issuer, together with an equivalent number of Class V Voting Stock of the Issuer held by the reporting person being canceled. The shares of Class V Voting Stock of the Issuer provide no economic rights in the Issuer to the holder thereof. However, each holder of Class V Voting Stock will be entitled to vote as a common stockholder of the Issuer, with the number of votes equal to the number of shares of Class V Voting Stock held at the time of such vote. Shares were sold pursuant to a 10b5-1 Plan dated August 16, 2024. The reported price in Column 4 is a weighted average sale price. These shares were sold in multiple transactions at prices ranging from $20.64 to $21.38 per share. The Reporting Person undertakes to provide to the Issuer, any security holder of the Issuer, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the range set forth in this footnote. The reported price in Column 4 is a weighted average sale price. These shares were sold in multiple transactions at prices ranging from $20.695 to $21.19 per share. The Reporting Person undertakes to provide to the Issuer, any security holder of the Issuer, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the range set forth in this footnote. Pursuant to the Amended and Restated Limited Partnership Agreement of RSI LP, beginning on June 29, 2021, the RSI Units beneficially owned by the reporting person may be exchanged, subject to certain conditions, for one share of Class A Common Stock of the Issuer. Upon such exchange, an equivalent number of shares of Class V Voting Stock then held by the reporting person will be canceled.
