10.Equity-based Compensation

Prior to the IPO discussed in Note 1 “Business and Basis of Presentation”, all of Company’s common stock was held by the Parent in direct proportion to ownership units (“Class A Units”) held by investors in the Parent. The Company also had a Management Equity Incentive Plan (the “Plan”) under which the Parent awarded certain Class B Profits Interest Units (“Class B Units”) to employees of the Company. In connection with the IPO, on June 27, 2018, all of the outstanding, vested Class A Units and Class B Units (together, the “Units”) were converted to common stock of the Company in accordance with the provisions of the respective Limited Partnership Agreement and Plan documents. All unvested Units were converted into unvested restricted stock of the Company under the same vesting conditions as the original Units.

In connection with the IPO, on June 27, 2018 the Company issued approximately 5,300 stock options to holders of the Units. The Company recognized approximately $11,423 of equity-based compensation expense during the three months ended June 30, 2018 as a result of approximately 1,500 options vesting upon grant. The remaining 3,800 options vest over various periods up to approximately five years from the grant date.

During the three months ended June 30, 2018, the Company also recorded approximately $1,540 of equity-based compensation expense that related to a performance condition on certain Class B Units that vested when the Company’s Registration Statement was declared effective.

Information regarding the total equity-based compensation expense, for the periods indicated is as follows (amounts in thousands):

Three Months Ended

June 30,

Nine Months Ended

June 30,

2018

2017

2018

2017

Total equity-based compensation expense recognized

14,951

2,193

20,753

2,637

At June 30, 2018 the aggregate unamortized value of outstanding stock-based compensation awards was approximately $32,424 with a weighted average remaining life of 2.3 years.

2018 Omnibus Incentive Plan

On June 28, 2018, in connection with the IPO, the Company’s Board of Directors adopted, and its stockholders approved, the BrightView Holdings, Inc. 2018 Omnibus Incentive Plan (the “2018 Omnibus Incentive Plan”). The 2018 Omnibus Incentive Plan provides that the total number of shares of common stock that may be issued under the plan is 11,650. Under the plan, the Company may grant stock options, stock appreciation rights, restricted stock, other equity-based awards and other cash-based awards to employees, directors, officers, consultants and advisors.

July 2018 Issuances of Restricted Stock and Stock Options

On July 2, 2018, in connection with the IPO, the Company granted stock options to purchase approximately 600 shares of its common stock at $22.00 per share to certain employees under the 2018 Omnibus Incentive Plan. The stock options will vest in four equal installments on the first, second, third and fourth anniversaries of the grant date. Non-cash stock based compensation expense associated with the grant is approximately $4,632 expensed over the requisite service period.

On July 2, 2018, in connection with the IPO, the Company granted approximately 700 shares of restricted stock to certain employees under the 2018 Omnibus Incentive Plan. The restricted stock will vest in three equal installments on the first, second, and third anniversaries of the grant date. Non-cash equity-based compensation expense associated with the grant is approximately $14,850 expensed over the requisite service period.