SEC Filing Document

Company: Forbright, Inc.
Ticker: 
CIK: 1925062
Filing Type: S-1
Document Type: EX-10.5
Date Filed: 2026-05-15
Accession Number: 0001628280-26-035713
Exchange: 
SIC Code: 6022
SIC Description: State Commercial Banks
URL: https://www.sec.gov/Archives/edgar/data/1925062/000162828026035713/exhibit105-sx1publicflip.htm

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occur on or about the effective date of this Award or (2) an initial public offering of the Company’s Common Stock. d. “Qualifying Trigger Event” means: (i) the Company shall close on an initial public offering with a gross offering proceeds of at least $250 million (a “Qualifying Public Offering”); (ii) the consummation of a Sale Transaction; or (iii) the Company shall close on a private equity financing with gross proceeds of at least $250 million in cash. 7. Merger, Consolidation or Asset Sale: Notwithstanding Section 8(C) of the Plan, the merger, consolidation or sale or disposition of substantially all of the assets of the Company shall not result in the acceleration or vesting or exercise of the Units granted hereunder to the extent such event does not otherwise result in the Units becoming vested or exercisable pursuant to the terms of this Agreement. 8. Determination of Fair Market Value.

Prior to (x) an initial public offering of the shares of Common Stock or (y) a Sales Transaction, the Board shall formally approve a Fair Market Value of a share of Common Stock at least annually (the “Board FMV”). The Board shall use commercially reasonable efforts to approve a Board FMV on or before the date which is 30 days after completion of the Company’s audited financial statements each year. Beginning on the fifth anniversary of the Closing Date, John K. Delaney (“Delaney”) may, once in any calendar year, object to the Board FMV by providing written notice, which shall also include a proposed alternative fair market value (an “FMV Notice”, and such proposed fair market value, the “Delaney FMV”), to the Board within five business days following notice of the approval of the Board FMV. Upon the Board’s receipt of an FMV Notice, the Board shall have five business days to consider and accept the Delaney FMV. If the Board accepts the Delaney FMV, the Delaney FMV shall be the fair market value used under certain circumstances hereunder to determine if a condition under the Option has been satisfied (the “Target FMV”). If the Board does not accept the Delaney FMV within five business days after delivery of the Delaney FMV, the Board shall within 30 days thereafter retain a valuation firm (other than the valuation firm that calculated the Board FMV), which valuation firm shall be subject to approval by Delaney (with such approval not to be unreasonably withheld), at the sole expense of the Corporation, to select either the Board FMV or the Delaney FMV, which shall be the Target FMV (it being understood that the valuation firm shall not be permitted to calculate a third fair market value). If Delaney is no longer CEO of the Corporation, Donald F. Cole (“Cole”) shall have the rights of Delaney under this provision, and if Cole is no longer an executive of the Bank, the then-CEO of the Corporation shall have the rights of Delaney under this provision.