SunWorks Inc (SUNWQ)

[SandridgeEnergy]

As it stands he would be able to take home ~$1.6M immediately after next Q if the company were either sold or he resigns (assuming these two grants include everything). His endgame is probably to get enough out of this to retire and spend time with his family comfortably (as it is for most people).

Coincidentally:

- Average retirement age: 63
- His age: 63 (based on filing)

The timeline surrounding the new options is kind of interesting too:

The compensation committee included two board members: Van Slooten (who has a previous business relationship with Nelson) and Richardson (who was replaced on the committee by Chuck Cargile). These two individuals determine Nelson's compensation.

The additional 250K grant Nelson received was on Aug. 31:

In recognition of the efforts of James Nelson, the Company’s Chief Executive Officer, in leading the Company through the uplisting and financing transaction consummated by the Company in 2015, on August 31, 2016, the Company’s Compensation Committee deemed it advisable and in the best interest of the Company to grant Mr. Nelson a restricted stock grant of 250,000 shares of the Company’s common stock pursuant to the terms of the Company’s 2016 Equity Incentive Plan (the “2016 Plan”).

It was a nice parting gift from Richardson as he resigned the very next day:

Effective September 1, 2016, Mr. Mark Richardson advised Sunworks, Inc. (the “Company”) that he is resigning from his position as a member of the Board of Directors (the “Board”), the Compensation Committee and the Corporate Governance/Nominating Committee. Mr. Richardson’s decision to resign did not result from any disagreement with the Company, the Company’s management or the Board.

As far as I can tell the new guy Cargile has no connection with Nelson either through going to BYU or other business relationships, which makes him an outlier on the board.

I am far from certain that selling the company is his goal near term, but the changes that were made do point moderately in that direction. I don't think the narrative that these changes were made because the company is getting ready to become a national leader...etc hold much water. But these changes are pretty major, and must be indicative of some change on the horizon. If the new guy that replaced Richardson does intend to work on finding a buyer it might work out well for shareholders here though, he got a what looks like a really good price for the last company he worked on (NEWP).


NEWP before and after buyout: