Company: SDHC
Filing Date: 2025-04-23
Form Type: DEF 14A
Source: 0001982518-25-000012
Chunk: 51

Company: Smith Douglas Homes Corp.
Filing Date: 2025-04-23
Form: DEF 14A
Chunk 51
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 Beneficial Owners and Management .

Smith Douglas Holdings LLC used the net proceeds from the sale of LLC Interests to Smith Douglas Homes Corp. (i) to repay approximately $84.0 million of borrowings outstanding under our Prior Credit Facility as part of the Refinancing, (ii) to redeem all outstanding Class C Units and Class D Units of Smith Douglas Holdings LLC at par in aggregate for $2.6 million, which were held by the Founder Fund, (ii) to repay in full the outstanding amount of $0.9 million for one of the notes payable to an entity affiliated with the Founder Fund, issued in relation to the purchase of an airplane, as described under —Certain Relationships and Related Person Transactions—Relationship with the Founder Fund ,” and (iv) for general corporate purposes.

The following table summarizes (i) the number of LLC Interests purchased by us from each of the Continuing Equity Holders and (ii) the total consideration paid by us for each Continuing Equity Holder’s respective LLC Interests. The table below is based on the initial public offering price of $21.00 per share, less the underwriting discount payable by us.

| Participants(1) |     |           | LLC Interests purchased by us |     |   |            | Total purchase price |
|:----------------|:----|----------:|:------------------------------|:----|:--|-----------:|:---------------------|
| Founder Fund(2) |     | 2,192,308 |                               |     | $ | 42,815,775 |                      |
| GSB Holdings(3) |     |   243,589 |                               |     | $ |  4,757,293 |                      |

(1) Additional details regarding these stockholders and their equity holdings are provided in — Security Ownership of Certain Beneficial Owners and Management .

(2) Thomas L. Bradbury, our Executive Chairman of the Board, is co-trustee of Founder Fund.

(3) Gregory S. Bennett, our Chief Executive Officer, and Vice Chairman of our Board, is sole member and manager of GSB Holdings.

#### Relationship with the Founder Fund
We are a “controlled company” within the meaning of the corporate governance rules of the Exchange, and the Founder Fund holds approximately 88.1% of the voting power in us. See — The Transactions and —Controlled Company Exemption . Thomas L. Bradbury, our Executive Chairman of the Board, is co-trustee of Founder Fund and Julie M