ADDED
As of September 22, 2025, Beneficient had 9,464,248 shares of Class A common stock outstanding and 239,257 shares of Class B common stock outstanding.
As a result of the events of default, HCLP (as defined herein) has made attempts to secure the collateral under the HCLP Loan Agreement; Brad K.
Heppner, our founder and former CEO (through his resignation on June 19, 2025), has financial interests that conflict with the interests of Beneficient and its stockholders, and following his resignation, Mr.
Heppner retains certain rights to nominate candidates for our Board (as defined below).
Additionally, we are currently involved in litigation brought by Mr.
Heppner and his affiliates and may be subject to additional litigation in the future; we have identified a material weakness in our internal control over financial reporting and our management has concluded that our disclosure controls and procedures and internal control over financial reporting were not effective as of March 31, 2025.
If not remediated, our failure to establish and maintain effective disclosure controls and procedures and internal control over financial reporting could result in a material misstatement in our financial statements or a failure to meet our reporting and financial obligations, each of which could have a material adverse effect on our financial condition and the trading price of our Class A common stock; the transfer of GWG Holdings Inc.
Our products and services are designed to meet the unmet needs of mid-to-high net worth ( MHNW ) individual investors, small-to-midsize institutional ( STMI ) investors, family offices ( FAMOs ) and GPs, which collectively are our Customers.
Currently, our primary operations relate to our liquidity, primary capital, trustee, custody and alternative asset trust administration products and services through Ben Liquidity, L.L.C.
and its subsidiaries (collectively, Ben Liquidity ) and Ben Custody, L.L.C.
REMOVED
As of July 5 , 2024, Beneficient had 4,006,365 shares of Class A common stock outstanding and 239,257 shares of Class B common stock outstanding.
Through Ben Liquidity, we finance liquidity and primary capital transactions for our Customers through our subsidiary, Beneficient Fiduciary Financial, L.L.C.
( BFF ), a Kansas trust company regulated by the Office of the State Banking Commission ( OSBC ) and operated as a Technology-Enabled Fiduciary Financial Institution ( TEFFI ), under the Kansas Technology-Enabled Fiduciary Financial Institutions Act (the TEFFI Act ) using a proprietary trust structure that we implement for our Customers (we refer to such trusts collectively as the Customer ExAlt Trusts ).
Through Ben Custody, we offer an extensive line of trustee and custody services, alternative asset trust administration, and data management services to the trustees of the Customer ExAlt Trusts and other Customers through BFF, and other of our subsidiaries.
( AltAccess Securities ), a Financial Industry Regulatory Authority ( FINRA ) member and Securities and Exchange Commission ( SEC ) registered broker-dealer, and transfer agent services through our subsidiary, Beneficient Transfer and Clearing Company, L.L.C.
( BIC ), has filed an application for an insurance charter with the Commissioner of Insurance of the State of Kansas.
Each of our liquidity, primary capital, custody, trustee, trust administration, transfer agent and broker-dealer products and services are structured to be deliverable to our Customers through our online digital platform, AltAccess.
As a result, our AltAccess platform is periodically examined by the OSBC, and is further assessed by a third-party organization to ensure System and Organizational Controls ( SOC ) 2 type 2 and SOC 3 compliance for the benefit of our Customer users.
Investments in these types of alternative assets are inherently illiquid and thus require an investor 1 Source: Preqin, all private capital assets under management as of September 30, 2023.
We estimate that the unmet demand for liquidity from our target market of mid-to-high-net-worth ( MHNW ) and small-to-mid-sized ( STMI ) institutional investors is over $61 billion 2,3 annually.