Kodiak Gas Services Announces Closing of Rule 144 Sale and Share Repurchase

Strategic Insights -

Kodiak Gas Services, Inc. (NYSE: KGS) has announced the closing of a sale of 3.22 million shares of its common stock by an affiliate of the funds known as EQT Infrastructure III and EQT Infrastructure IV. The sale was conducted pursuant to Rule 144 under the Securities Act of 1933, and Kodiak did not receive any proceeds from the sale. Concurrently, the Company purchased $10 million of its common stock from the selling stockholder at a price equal to the price per share received in the Rule 144 Sale.

Key Takeaways:

  • Kodiak Gas Services has closed the sale of 3.22 million shares of its common stock by EQT Infrastructure III and EQT Infrastructure IV, totaling approximately 12.9% of the company's outstanding shares.
  • The sale was conducted under Rule 144 of the Securities Act of 1933, allowing affiliates to sell shares without registration.
  • The Company did not receive any proceeds from the sale.
  • Concurrently, Kodiak purchased $10 million of its common stock from the selling stockholder at a price equal to the price per share received in the Rule 144 Sale.
  • The share repurchase was conducted under Kodiak's existing $50.0 million share repurchase program.
  • Approximately $15.0 million remains available for repurchase under the Company's share repurchase program, as authorized by the Board of Directors in November 2024.
  • The share repurchase is part of Kodiak's ongoing effort to create long-term value for its shareholders.

Statistics:

  • 3.22 million shares of Kodiak Gas Services' common stock were sold by EQT Infrastructure III and EQT Infrastructure IV.
  • The sale represents approximately 12.9% of Kodiak's outstanding shares.
  • The purchase of $10 million of Kodiak's common stock was made by the Company at the same price per share as received in the Rule 144 Sale.
  • Kodiak's share repurchase program has $50.0 million in authorized funds, with approximately $15.0 million remaining for future purchases.
  • The share repurchase program, authorized by the Board of Directors in November 2024, will continue through December 31, 2025.

Sources:

  • Kodiak Gas Services, Inc. (NYSE: KGS)
  • BusinessWire
  • U.S. Securities and Exchange Commission (SEC)
  • Securities Act of 1933
  • Rule 144 of the Securities Act of 1933
  • Kodiak Gas Services, Inc.'s annual report on Form 10-K for the year ended December 31, 2024
  • Kodiak Gas Services, Inc.'s quarterly reports on Form 10-Q