Aterian (ATER) CEO David E. Lazar Acquires Preferred, Converts to Common

What Happened
David E. Lazar, CEO of Aterian, acquired 1,750,000 shares of Series AAA Convertible Non‑Redeemable Preferred Stock on July 17, 2026 at $2.00 per preferred share for a total cash outlay of $3,500,000. The Form 4 also reports conversions of preferred securities into common stock on August 4, 2026 (the filing shows conversion entries and footnotes indicate additional Series AA conversions), which involve surrendering preferred shares in exchange for common shares for no additional cash consideration.

Key Details

• Transaction types: A = acquisition of Series AAA preferred (7/17/2026); C = conversion of derivative/preferred into common (8/4/2026).
• Purchase: 1,750,000 Series AAA preferred at $2.00 each — total $3,500,000.
• Conversions: Form 4 reports preferred-to-common conversions on 8/4/2026; footnote states the Reporting Person converted 6,737,500 shares of Series AA preferred on Aug 4. Conversions are executed for no additional consideration.
• Conversion terms (Series AAA): each Series AAA preferred may be converted into 135.1 shares of common (implied conversion price $0.0148 per common share).
• Shares owned following the transactions: not specified in the provided filing excerpt.
• Filing timing: Form 4 was filed on Sept 11, 2026 covering transactions on July 17 and Aug 4 — the filing occurred after the transaction dates.

Context

• These were purchases of preferred stock and subsequent conversions to common stock, not open‑market buys or sales of common shares. Converting preferred into common typically does not generate cash proceeds (no additional consideration) — it changes the security type and increases common share count.
• For retail investors: the $3.5M purchase is a direct capital commitment by the CEO into convertible preferred securities. Conversions increase potential common share dilution; check the company’s outstanding shares and disclosures for the total impact.