GWG Holdings, Inc. (NASDAQ:GWGH) Files An 8-K Entry into a Material Definitive Agreement
Item1.01
| Entry into a Material Definitive Agreement. |
On February 16, 2017, GWG Holdings, Inc. entered into a
Separation Agreement with Mr. Paul Siegert. Under this agreement,
Mr. Siegert retired and resigned his position on the Board of
Directors of the company, including his role as Chairman of the
Board. In addition, the company agreed to repurchase Mr. Siegerts
200,445 shares common stock in the company for an aggregate of
approximately $1.604 million. As a separation payment, Mr.
Siegert will continue receiving his regular salary payments
(annualizing to approximately $201,000) through December 31, 2017
and he will forfeit all options, both unvested and vested, to
purchase shares of company common stock. The agreement also
contained a general release of all claims.
| Item1.02 |
Termination of a Material Definitive Agreement. |
On February 16, 2017, and by virtue of the Separation Agreement
described under Item 1.01 above, the Employment Agreement dated
June 14, 2011, between the company and Paul Siegert was
terminated.
| Item5.02 |
Departure of Directors or Certain Officers; |
On February 16, 2017, Mr. Paul Siegert retired and resigned his
position on the Board of Directors of GWG Holdings, Inc. On
February 17, 2017, the Board of Directors appointed Mr. Mark
Schwarzmann as a director to fill the vacancy created by Mr.
Siegerts departure. On that same day, the Board of Directors
appointed Mr. Jon Sabes as Chairman of the Board.
| Item5.03 |
Amendment to Articles of Incorporation or Bylaws; |
On February 16, 2017, the company filed with the State of
Delaware a Certificate of Designation that designates, and sets
forth the relative rights, privileges and preferences of, a new
series of preferred stock to be entitled Series 2 Redeemable
Preferred Stock. The filing was made in connection with the
declaration of effectiveness by the U.S. Securities and Exchange
Commission of a registration statement that registers the public
offer and sale of Series 2 Redeemable Preferred Stock.
| Item9.01 |
Financial Statements and Exhibits. |
(d) Exhibits
| 3.1 |
Certificate of Designation for Series 2 Redeemable Preferred Stock |
| 99.1 | Press release dated February 21, 2017 |
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About GWG Holdings, Inc. (NASDAQ:GWGH)
GWG Holdings, Inc. is a specialty finance company. The Company is a financial purchaser of life insurance assets in the secondary market. The Company creates opportunities for consumers owning life insurance to obtain value for their policies as compared to the traditional options offered by insurance companies. The Company also creates opportunities for investors to participate in alternative asset classes, such as life insurance, not correlated to traditional financial markets. The Company conducts its life insurance related business through its subsidiary, GWG Life, LLC. It generally purchases life insurance assets directly from policy owners having purchased their life insurance in the primary market. Its operational platform offers various options to customers based on the market value of their life insurance, including selling the entire policy benefit for cash, or selling a portion of the policy benefit and retaining a portion of the benefit with no future premium obligation. GWG Holdings, Inc. (NASDAQ:GWGH) Recent Trading Information
GWG Holdings, Inc. (NASDAQ:GWGH) closed its last trading session 00.00 at 9.50 with 5,442 shares trading hands.