Direct Digital (DRCT) CEO Mark Walker Converts Units into 10,000 Shares

What Happened
Mark D. Walker, Chairman, CEO and a Director of Direct Digital Holdings, converted 10,000 Class A common units into 10,000 shares of Class A common stock on August 27, 2026. The filing also shows a simultaneous disposition of 10,000 shares of Class B common stock at $0.00—these Class B shares have no economic value and were cancelled in connection with the exchange. This was a non-cash conversion (no cash paid or received).

Key Details

• Transaction date: August 27, 2026; Form filed August 28, 2026 (timely).
• Conversion reported as derivative transactions (code C). Acquired: 10,000 shares (price N/A). Disposed: 10,000 shares of Class B at $0.00 (derivative).
• Shares owned following the reported transaction: not specified in the filing.
• Footnote F1: Class A units (held indirectly) are exchangeable one-for-one for Class A common stock; an equal number of non-economic Class B shares held by Walker are cancelled upon exchange.
• Footnote F2: Prior reverse stock splits (55-for-1 on Jan 12, 2026 and 4-for-1 on Apr 27, 2026) adjusted the reported units/shares.

Context
This was an internal conversion of LLC units into common stock under the company’s LLC agreement—not an open-market purchase or sale. No cash was exchanged and the cancelled Class B shares carried no economic value, so this transaction is administrative/structural rather than a market signal of buying or selling.