It's certainly odd. M subgiants (that's an M7 IVB) are rare as hen's teeth in my experience, and they should be heavier - certainly a star of that mass should not be evolving off the main sequence at that age. It could be that the luminosity class is being assigned based on some arbitrary set of rules and the star is being called a subgiant when really it's just slightly on the large side for its mass, but in no way a traditional evolving subgiant. I haven't been able to pin down the exact rules for luminosity classes, although there are some clear trends.
The stars which have evolved to K giants are much heavier at that age - slightly over 1 solar mass IIRR - and I've had very little luck finding any stars intermediate between the main sequence and the giants.
(If you look at an HR diagram for the handplaced stars in Elite, and compare it to the proc-gen ones, the proc-gen fall into nice narrow curves whereas the real ones are messier with broad stripes.)
In my ship's log file (link in sig) there's another couple of these, with IIRR similar stats.