RELATED PARTY TRANSACTIONS |
9 Months Ended |
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Sep. 30, 2026 | |
| Related Party Transactions [Abstract] | |
| RELATED PARTY TRANSACTIONS | RELATED PARTY TRANSACTIONS Investment Advisory Agreement For the nine months ended September 30, 2026, there was no material change to the Company’s investment advisory agreement with Solasglas as described in its 2025 Form 10-K. Effective May 1, 2026, the monthly management fee payable to DME Advisors by Solasglas changed to 0.104% (1.25% per annum) from 0.125% (1.5% per annum). Refer to Note 3 for a breakdown of management fees and performance allocation for the nine months ended September 30, 2026 and 2025. Green Brick Partners, Inc. David Einhorn also serves as the Chairman of the Board of Directors of Green Brick Partners, Inc. (“GRBK”), a publicly-traded company. At September 30, 2026, Solasglas, along with certain affiliates of DME Advisors, collectively owned 24.0% of the issued and outstanding common shares of GRBK. Under applicable securities laws, DME Advisors may sometimes be limited in its ability to trade GRBK shares held in Solasglas. At September 30, 2026, Solasglas held 0.8 million shares of GRBK. Service Agreement The Company is a party to a service agreement with DME Advisors, pursuant to which DME Advisors provides certain investor relations services to the Company for compensation of five thousand dollars per month (plus expenses). The agreement automatically renews annually until terminated by either the Company or DME Advisors for any reason with 30 days prior written notice to the other party. Collateral Assets Investment Management Agreement Effective January 1, 2019, the Company (and its subsidiaries) entered into a collateral assets investment management agreement (the “CMA”) with DME Advisors, pursuant to which DME Advisors manages certain assets of the Company that are not subject to the Solasglas LPA and are held by the Company to provide collateral required by the cedents in the form of trust accounts and letters of credit. In accordance with the CMA, DME Advisors receives no fees and is required to comply with the collateral investment guidelines. The CMA can be terminated by any of the parties upon 30 days’ prior written notice to the other parties. Share Repurchase Agreement On June 1, 2026, the Company entered into an Ordinary Share Repurchase Agreement (the “Ordinary Share Agreement”) with David M. Einhorn 2021-07 Family Trust (the “Seller”), an affiliate of Mr. David Einhorn. Subject to the terms and conditions of the Ordinary Share Agreement: •the Company will buy back from the Seller a number of ordinary shares ($0.10 par value per share) equal to 33% of all the ordinary shares the Company repurchases under a 10b5-1 plan entered into on June 3, 2026 (the "June 10b5-1 Plan"). This covers the period from when the June 10b5-1 Plan takes effect up to (but not including) the trading day before the closing date, with the share count rounded down to the nearest whole share; and •the price the Company pays the Seller per share will be equal to the weighted average price per share the Company paid under the June 10b5-1 Plan, not including any commissions. Accordingly, on August 3, 2026, between the Company and the Seller, the Company repurchased 106,060 ordinary shares from the Seller at $16.14 per share, based on the weighted average price per ordinary share, excluding any commissions, paid by the Company in connection with the open market repurchases made by the Company between June 3, 2026 and July 31, 2026. On August 4, 2026, the Company executed an additional Ordinary Share Repurchase Agreement with the Seller, under substantially the same terms and conditions, covering Company repurchases for the period from August 7, 2026 through October 26, 2026. See Note 18 for shares repurchased under the Ordinary Share Agreement in October 2026.
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