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Reagan A. Reaud

Director at Stellar Bancorp
Board

About Reagan A. Reaud

Independent director of Stellar Bancorp, Inc. (STEL) since 2020; age 46. Founder/CEO of Privateer Capital Management (multi-strategy family investment firm) and founder/Chairman of Lucena Group (security and intelligence solutions). Education: B.A., Washington & Lee University (European History, magna cum laude); J.D., University of Texas School of Law (with honors); MBA, Wharton (Finance and Strategic Management). Prior roles include clerk to Justice Harriet O’Neill (Texas Supreme Court) and prosecutor at the Travis County Attorney’s Office .

Past Roles

OrganizationRoleTenureCommittees/Impact
CBTX, Inc.Director2020–2022Audit and Compensation Committees (from 2021)
Privateer Capital Management, LPFounder & CEO2013–presentLeads multi-strategy investment operations
Lucena GroupFounder & Chairmann/a–presentSecurity and intelligence solutions leadership
Texas Supreme CourtLaw Clerk to Justice Harriet O’Neilln/aLegal analysis and appellate clerkship experience
Travis County Attorney’s OfficeProsecutorn/aCriminal prosecution experience

External Roles

OrganizationRoleTenureNotes
Beaumont Foundation of AmericaChairmann/a–presentPhilanthropic leadership
The Reaud FoundationBoard membern/a–presentPhilanthropy governance
University of Texas Law School FoundationBoard membern/a–presentAcademic foundation governance
Austin SymphonyTrusteen/a–presentArts governance
Business Executives for National SecurityMembern/a–presentNational security community
American Bar FoundationLife Fellown/a–presentLegal community recognition

Board Governance

  • Committees: Corporate Governance & Nominating; Risk Oversight .
  • Independence: Board determined Reaud is independent under NYSE and SEC rules .
  • Board/committee activity: Board met 5 times in 2024; four executive sessions of independent directors were held; attendance threshold met by all except one director (individual attendance not disclosed) .
  • Lead Independent Director: John Beckworth; not held by Reaud .

Fixed Compensation

Component (2024)Amount ($)Notes
Annual cash retainerIncluded in totalCompany program: $40,000 cash retainer
Committee feesIncluded in totalMembers: CG&N ($5,000), Risk ($7,500); chairs receive higher fees (not applicable)
Meeting feesIncluded in total$750 per Board and per committee meeting
Total cash paid63,750Director-specific 2024 cash fees

Performance Compensation

GrantDateShares/UnitsFair Value ($)Vesting
Restricted stock (annual director grant)Jun 1, 20242,66060,000Vests May 1, 2025, continued service
Dividends on vested restricted stock20241,335Paid on previously vested shares
  • No performance-based equity for directors (time-based restricted stock; no options granted to directors) .

Other Directorships & Interlocks

CompanyExchangeRoleCommittee
None disclosed
  • Compensation Committee interlocks: Company discloses none among executives and committee members; not specific to Reaud but covers Board’s structure .

Expertise & Qualifications

  • Investment leadership (family office, multi-strategy) and security/intelligence entrepreneurship .
  • Legal credentials (clerkship, prosecution) and finance/strategy training (Wharton MBA) .
  • Governance experience across foundations and community institutions .
  • Fit for Risk Oversight and Corporate Governance committees per background .

Equity Ownership

HolderDirect SharesIndirect/EntityUnvested RSTotal Beneficial% of OutstandingPledged
Reagan A. Reaud7,873500 (Reaud Holdings LLC)2,66011,033<1%None disclosed
  • Ownership guidelines adopted Feb 26, 2025: Directors must hold 5x annual cash retainer; accumulation within 5 years; one-year post-vest holding for shares vesting from 2025 grants (compliance status for Reaud not disclosed) .

Governance Assessment

  • Strengths:

    • Independent director with relevant risk and governance committee service .
    • Clean related-party profile; no director-specific related transactions disclosed; insider pledging permitted only with prior notice—no pledged shares disclosed for Reaud .
    • Director pay structure balanced: modest cash retainer/fees plus equity; no stock options; time-based RS promotes alignment without riskier option incentives .
    • Company governance enhancements in 2024–2025: declassification proposal, director resignation policy, enhanced shareholder rights (25% special meeting; shareholder bylaw amendments); strong say-on-pay support (96.5%) .
  • Watch items / RED FLAGS:

    • Insider Trading Policy allows pledging with prior notice; while Reaud has no disclosed pledges, overall Board group has pledged shares—monitor ongoing pledging exposure at the Board level .
    • Individual meeting attendance not disclosed by director; company notes one director below 75%—confirm future attendance metrics for Reaud as available .
    • Equity plan share reserve increase (request for +1.1M shares) can imply dilution; monitor director grants scale relative to governance cap ($500k annual limit per non-employee director) .
  • Implications for investors:

    • Background and committee placement suggest Reaud contributes to risk oversight and governance rigor; compensation/ownership posture indicates alignment without complex pay structures.
    • Company-level governance reforms positively affect investor confidence; no specific conflicts tied to Reaud have been disclosed.