Equity compensation is issued pursuant to the terms of the Lincoln International, Inc. 2026 Incentive Award Plan, which provides for the grant of stock options, restricted stock, dividend equivalents, stock payments, restricted stock units, performance shares, other incentive awards, stock appreciation rights, and cash awards. to a maximum of 25,503,853 shares of our Class A common stock. Awards under the plan are eligible to accrue dividend equivalents based on dividends declared. Both the awards and any related dividend equivalents are subject to forfeiture in the event the requisite service period for each award is not satisfied.

Prior to consummation of our public offering, LILP issued various options to certain employees and partners for purposes of recruiting and / or retention. Options in LILP outstanding at the time of our IPO were not modified other than to adjust the strike price and number of options outstanding based on the applicable conversion ratio. These options have various grant dates and vesting periods. All options vest over a service period and are recognized as compensation expense over the requisite service period. Options are valued using the Black-Scholes-Merton option pricing model.


	Six months ended June 30, 2026
	Options	Weighted Average Exercise Price		Intrinsic Value (in USD thousands)		Weighted Average Remaining Term (years)
Unvested at beginning of period	1,644,500	$	7.17	$	27,003	1.12
Granted	3,368,300	9.09		48,840		2.78
Vested	(579,150)	7.28		(9,446)		0.51
Forfeited	(200,200)	6.89		(3,343)		*
Unvested at end of period	4,233,450	$	8.69	$	63,078	2.67

Total compensation expense recognized during the period related to stock options was not material. The total remaining unrecognized compensation expense for stock options was $7.6 million, which will be recognized over a remaining weighted average period of 2.67 years.

On May 21, 2026, the Company granted 3,863,267 restricted stock units at the IPO price of $20.00 per share under the 2026 Plan to certain employees and one non-employee director (the “IPO Equity Awards”). The IPO Equity Awards are settled in shares of Class A common stock and vest solely upon continued service over periods of up to four years from the closing of the IPO. The IPO Equity Awards had an aggregate grant-date fair value of $77.3 million, which will be recognized as compensation expense on a straight-line basis over the requisite service period of each award.


	Restricted Stock	Weighted Average Grant Date Fair Value
Unvested at beginning of period	—	$	—
Granted	3,863,267	20.00
Vested	—	—
Forfeited	—	—
Unvested at end of period	3,863,267	$	20.00

The Company recognized compensation expense related to the IPO Equity Awards of $2.0 million and $2.0 million for the three and six months ended June 30, 2026, respectively. The expense is recorded in compensation and benefits on the condensed consolidated statements of comprehensive income (loss). The unrecognized compensation expense for restricted stock was $47.7 million, which will be recognized over a weighted-average period of 3.3 years. The Company recognizes the expense based on a cumulative forfeiture rate over the requisite service period based on expected turnover and will periodically reassess this rate.

Liquidity Event Shares (“Liquidity Event Shares”) are shares of Class A common stock to be issued within 90 days of the closing of our IPO in satisfaction of obligations of LILP under the prior Third Amended and Restated Limited Partnership Agreement of Lincoln International, LP and the applicable redemption agreement that became due to certain partners and former partners (or their estates) whose units in LILP were repurchased by LILP (i) due to death, retirement, or permanent disability or (ii) following certain termination events.

Upon closing of the IPO, the Company became obligated to issue 1,433,927 Liquidity Event Shares at an IPO price of $20.00 per share. The Liquidity Event Shares are issuable within 90 days of the closing of the IPO and are not subject to any service condition. The equity was valued at $28.7 million and was recorded as an expense in other operating expenses, net on the condensed consolidated statements of comprehensive income (loss) for the three and six months ended June 30, 2026. The Liquidity Event Shares expense is considered a pre-IPO expense and as such is allocated to the noncontrolling interest.