SCHEDULE: Castle Creek Capital Reduces Stake in CF Bankshares to 9.9% After Recent Share Sales

Castle Creek Capital Partners VII, LP has reduced its beneficial ownership in CF Bankshares Inc. to 9.9% after selling 80,134 shares of common stock for approximately $1.93 million between July 2 and July 8, 2025.

Summary

• Castle Creek Capital Partners VII, LP (Fund VII) sold an aggregate of 80,134 shares of CF Bankshares Inc. Voting Common Stock.
• The sales occurred in various open-market transactions between July 2, 2025, and July 8, 2025, generating net proceeds of $1,934,159.50 after commissions and fees.
• Following these transactions, Fund VII directly owns 354,764 shares of Voting Common Stock.
• Fund VII's aggregate beneficial ownership, including shares convertible within the ownership cap, is 574,141 shares, representing approximately 9.9% of the outstanding Voting Common Stock.
• The calculation of beneficial ownership is based on 5,799,407 shares of Voting Common Stock outstanding.
• Specific sales included 5,931 shares on July 2, 2025, at a weighted average price of $24.19 per share; 5,852 shares on July 3, 2025, at $24.20 per share; 14,695 shares on July 7, 2025, at $24.19 per share; and 53,656 shares on July 8, 2025, at $24.15 per share.
• Fund VII previously received 360,400 shares of Voting Common Stock upon conversion of an equal number of Non-Voting Common Stock shares on May 21, 2025.
• An additional 604,223 shares of Non-Voting Common Stock held by Fund VII are excluded from the beneficial ownership calculation as they cannot be converted within 60 days due to the Ownership Cap.

Sentiment

Score: 4

Explanation: The sentiment is neutral to slightly negative. While the investor is realizing gains, the reduction of a significant stake by a major institutional investor could be perceived as a lack of strong conviction for future growth, potentially putting downward pressure on the stock. However, it's a routine disclosure for a 13D amendment.

Positives

• The sales generated significant proceeds of $1,934,159.50 for Fund VII, indicating a realization of investment gains.

Negatives

• A significant institutional shareholder reducing its stake could be perceived negatively by the market, potentially signaling a lack of further upside or a strategic shift by the investor.

Future Outlook

No forward-looking statements or guidance are provided in this Schedule 13D amendment, which primarily reports changes in beneficial ownership.

Industry Context

This filing reflects a strategic decision by a significant institutional investor, Castle Creek Capital, to reduce its stake in CF Bankshares Inc., a financial institution. Such divestments by large shareholders can sometimes signal a shift in investment strategy or a re-evaluation of the company's future prospects within the broader financial services sector. While not explicitly stated, it could be part of a portfolio rebalancing or profit-taking strategy.

Comparison to Industry Standards

• This document is an ownership disclosure filing (Schedule 13D amendment) and does not contain financial performance data or operational metrics that would allow for a direct comparison to industry standards or specific comparable companies/projects. The reported share sales are specific to the investor's portfolio management.

Stakeholder Impact

• Shareholders: The reduction in stake by a major institutional investor could lead to increased selling pressure or a perception of reduced institutional confidence, potentially impacting share price.

Next Steps

• CF Bankshares Inc. will continue its operations and financial reporting as usual.
• Castle Creek Capital Partners VII, LP may continue to adjust its holdings in CF Bankshares Inc. based on its investment strategy and market conditions.

Key Dates

Recommendation

Keywords

CF Bankshares Inc., Castle Creek Capital, Schedule 13D, Share Sale, Beneficial Ownership, Common Stock, Institutional Investor, SEC Filing, Equity Stake, Financial Services