Pinnacle Acquisition (PNAQ) CEO Steven K. Hudson Surrenders 750,000 Founder Shares

What Happened

• Steven K. Hudson, CEO and co-managing member of the Sponsor for Pinnacle Acquisition Corp (PNAQ), recorded a disposition of 750,000 Class B (founder) ordinary shares on 2026-09-21. The shares were surrendered back to the issuer; no price or cash proceeds are reported (derivative transaction, code J). This was not an open-market sale but a surrender/cancellation of founder shares tied to the company’s offering mechanics.

Key Details

• Transaction date: 2026-09-21; Form 4 filed 2026-09-23 (filed within normal 2-business-day window).
• Transaction type/code: "Other acquisition or disposition" (code J) — derivative founder shares surrendered; price N/A; no cash received.
• Share count: 750,000 Class B ordinary shares disposed (surrendered).
• Shares owned after transaction: filing does not state total remaining holdings; Sponsor holdings were reduced by 750,000 founder shares.
• Relevant footnotes:
  • F1: Class B founder shares convert one-for-one into Class A ordinary shares at the SPAC’s initial business combination (no expiration).
  • F2: The 750,000 Class B shares were surrendered by PAC Sponsor, LLC because the underwriters did not exercise the over-allotment option.
  • F3: The Sponsor holds the shares; Steven K. Hudson and AVR Capital Holdings, LLC are co-managing members controlling the Sponsor’s voting and investment decisions.
• No indication this filing was late.

Context

• These were founder (Class B) shares held by the SPAC sponsor and are convertible into Class A shares at a future business combination. The transaction reflects a sponsor-level surrender related to the IPO/overallotment outcome, not an open-market sale by the CEO. Such surrender reduces the sponsor’s potential future stake but, by itself, should not be read as a market-timing signal.