Company: HGBL
Filing Date: 2025-04-22
Form Type: DEF 14A
Source: 0000950170-25-056713
Chunk: 19

Company: Heritage Global Inc.
Filing Date: 2025-04-22
Form: DEF 14A
Chunk 19
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AIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS</div>

As part of the operations of NLEX, the Company leases office space in Edwardsville, IL that is owned by Mr. Ludwig, Director and President of the Company’s Financial Assets division (which encompasses NLEX). The total amount paid to the related party was approximately $114,250 and $113,000 for the fiscal years ended December 31, 2024 and 2023, respectively, and is included in selling, general and administrative expenses in the consolidated statements of income included in our Annual Report on Form 10-K. All of the payments in both 2024 and 2023 were made to Mr. Ludwig.

The Company employs certain immediate family members of Management who are eligible to participate in benefit programs generally available to employees. Alexander Dove, HGP Vice President of Operations, and Grayson Dove, HGP Director of Operations, are both sons of Ross Dove, Chief Executive Officer. In 2024 and 2023, Alexander Dove received total compensation of $178,317 and $180,000, respectively. In 2024 and 2023, Grayson Dove received total compensation of $105,862 and $163,004, respectively. Thomas Ludwig, NLEX General Counsel and Senior Vice President, is the son of David Ludwig, President of Heritage Global’s Financial Assets division, and received total compensation of $693,248 and $1,772,068 in 2024 and 2023, respectively. Each of these employees received total compensation in 2025 through the date hereof at approximately the same rate as 2024. Additionally, Kirk Dove, the brother of Ross Dove and the father of Nicholas Dove, President, Industrial Assets division, is a Senior Advisor to the Company and received total compensation of $214,029 in both 2024 and 2023, and has been compensated at an annual rate of $200,000 during 2025.

While the Board currently does not have a written policy with respect to approval of transactions with related parties, it is the policy of the Board to approve any transactions with related persons through the full Board or a committee of independent directors. Any approvals would be reflected in the minutes of the meeting of the Board at which the Board approved the transaction. We have adopted a written policy, however, on conflicts of interest, which appears in our Code of Conduct. The Code of Conduct states that a “conflict of interest” exists when any relationship, influence or activity of an officer