SCHEDULE: Nantahala Capital Discloses 5.24% Stake in Fox Factory

Nantahala Capital Management, along with Wilmot B. Harkey and Daniel Mack, reported a 5.24% beneficial ownership stake in Fox Factory Holding Corp. as of December 31, 2025.

Summary

• Nantahala Capital Management, LLC, Wilmot B. Harkey, and Daniel Mack (collectively, the "Reporting Persons") have filed a Schedule 13G.
• The filing discloses beneficial ownership of 2,188,300 shares of Common Stock in Fox Factory Holding Corp.
• This represents 5.24% of the total outstanding shares of the class.
• The ownership is reported as of December 31, 2025.
• Nantahala Capital Management, LLC is an investment adviser, and Messrs. Harkey and Mack are its managing members and control persons.
• The Reporting Persons share both voting and dispositive power over all 2,188,300 shares.
• The securities were acquired and are held in the ordinary course of business and not for the purpose of changing or influencing control of the issuer.

Sentiment

Score: 6

Explanation: StockSavvy.ai views this as a moderately positive signal, as a significant institutional investor has taken a substantial passive stake, implying a vote of confidence in Fox Factory Holding Corp. without indicating any intent to influence control.

Positives

• A significant institutional investor, Nantahala Capital Management, has disclosed a substantial 5.24% stake in Fox Factory Holding Corp., indicating confidence in the company's long-term prospects.
• The filing explicitly states that the securities were acquired and are held in the ordinary course of business, not for the purpose of changing or influencing control, suggesting a passive, long-term investment approach.

Negatives

• NA

Risks

• NA This filing primarily discloses an ownership stake and does not detail specific risks related to the issuer's operations or financial health.

Future Outlook

This Schedule 13G filing does not contain any forward-looking statements or guidance from Fox Factory Holding Corp. It solely reports a beneficial ownership stake by an investment group.

Management Comments

• "By signing below I certify that, to the best of my knowledge and belief, the securities referred to above were acquired and are held in the ordinary course of business and were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer of the securities and were not acquired and are not held in connection with or as a participant in any transaction having that purpose or effect, other than activities solely in connection with a nomination under §§ 240.14a-11." (Certification by Taki Vasilakis, Chief Compliance Officer of Nantahala Capital Management, LLC, Wilmot B. Harkey, and Daniel Mack)

Industry Context

StockSavvy.ai notes that the disclosure of a significant passive stake by an investment adviser like Nantahala Capital Management in Fox Factory Holding Corp. suggests that the firm sees value in the company within its industry. This type of filing typically reflects an investment decision based on the company's fundamentals and market position, rather than a broader industry trend or competitive shift.

Stakeholder Impact

• Shareholders: The disclosure of a new or maintained significant institutional stake can influence investor perception and potentially provide a level of validation for the company's stock.
• Company Management: Awareness of a significant passive institutional holder may influence strategic decisions, though the filing explicitly states no intent to influence control.

Key Dates

Keywords

Fox Factory Holding Corp., Nantahala Capital Management, Schedule 13G, Beneficial Ownership, Common Stock, Investment Adviser, Institutional Ownership, FOXF