Quarterly report pursuant to Section 13 or 15(d)

Equity

v3.21.2
Equity
 6 Months Ended
Jun. 30, 2021
Stockholders' Equity Note [Abstract]  
Equity
35.
Equity
Class A Common Stock
As of June 30, 2021 (Successor), there were 64,140,214 shares of Class A Common Stock outstanding, consisting of 59,881,714 vested shares and 4,258,500 unvested shares that are subject to vesting and forfeiture. The 4,258,500 unvested shares of Class A Common Stock relate to the Sponsor Earnout, further discussed in Note 34. The 4,258,500 unvested shares of Class A Common Stock are not entitled to receive any dividends or other distributions, do not have any other economic rights until such shares are vested, and will not be entitled to receive back dividends or other distributions or any other form of economic
“catch-up”
once they become vested. The holders of the 59,881,714 vested shares of Class A Common Stock represent the controlling interest of the company. Refer to Note 34—Sponsor Earnout for additional details regarding the unvested shares.
Class B Common Stock
Upon the Closing of the Business Combination, the Company issued 7 shares of Class B Common Stock, par value $0.0001 per share, to holders of Class A LLC Units. The Class B Common Stock has no economic rights but entitles each holder of at least one such share (regardless of the number of shares so held) to a number of votes that is equal to the aggregate number of Class A LLC Units held by such holder on all matters on which shareholders of the Company are entitled to vote generally.
Class A LLC Units
In connection with the Business Combination, the Company, FoA Equity and the Continuing Unitholders entered into an Exchange Agreement (the “Exchange Agreement”). The Exchange Agreement sets forth the terms and conditions upon which holders of Class A LLC Units may exchange their Class A LLC Units for shares of Class A Common Stock on a
one-for-one
basis, subject to customary conversion rate adjustments for stock splits, stock dividends and reclassifications. The Continuing Unitholders’ ownership of Class A LLC Units represents the noncontrolling interest of the Company, which is accounted for as permanent equity on the Consolidated Statements of Financial Condition. As of June 30, 2021 (Successor), there were 191,200,000 Class A LLC Units outstanding. Of the 191,200,000 Class A LLC Units outstanding, 59,881,714 are held by the Class A Common Stock shareholders and 131,318,286 are held by the noncontrolling interest of the Company.