Company: RILYN
Filing Date: 2025-05-22
Form Type: 8-K
Source: 0001213900-25-046915
Chunk: 2

Company: B. Riley Financial, Inc.
Filing Date: 2025-05-22
Form: 8-K
Item: Item 5.02
Chunk 2
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600,000 and a maximum of $1,200,000, and annual long-term incentive awards.

Mr. Yessner is eligible to
receive a cash signing bonus equal to $1,000,000, 25% of which will be paid following the filing of each of the Company’s 2024 Annual
Report on Form 10-K and Quarterly Report on Form 10-Q for the quarters ended June 30, 2025 and the timely filing of each of the Company’s
Quarterly Report on Form 10-Q for the quarter ended September 30, 2025 and the 2025 Annual Report on Form 10-K. Mr. Yessner is also eligible
to receive an additional bonus of $100,000 upon each of the timely filing of the Company’s Quarterly Report on Form 10-Q for the
quarter ending June 30, 2025 and the Company realizing an aggregate expense reduction of at least $7,500,000 by no later than December
31, 2025.

Promptly following the Transition
Date, Mr. Yessner will receive an award of options to purchase 300,000 shares of Company common stock (“ Common Stock”) with
an exercise price per share of (i) $7.00 for 100,000 shares, (ii) $10 for 100,000 shares and (iii) $12.50 for 100,000 shares (the “ Option
Award” and each such tranche, a “ Tranche”) in reliance upon the private offering exemption from registration under the
Securities Act of 1933, as amended (the “ Securities Act”), afforded by Section 4(a)(2) thereof and Regulation D thereunder.
The Option Award will be granted as an “employment inducement grant” within the meaning of Rule 5635(c)(4) of the Nasdaq Listing
Rules. The Option Award has a ten year term and each Tranche will vest in equal installments on each of the first three anniversaries
of the grant date, subject to Mr. Yessner’s continued employment with the Company through each vesting date.

Promptly following the
Transition Date, Mr. Yessner will also be issued 100,000 shares of Common Stock in reliance upon the private offering exemption from
registration under the Securities Act, afforded by Section 4(a)(2) thereof and Regulation D thereunder. The shares of Common Stock
will be issued as an “employment induc