Form 4: Centerbridge Partners Reduce Stake in Garrett Motion Inc. (GTX)

Centerbridge Special Credit Partners and related entities have sold shares of Garrett Motion Inc. (GTX) common stock, reducing their beneficial ownership.

Summary

• Centerbridge Special Credit Partners III-Flex, L.P. and Centerbridge Credit Partners Master, L.P., along with related entities and Jeffrey H. Aronson, filed a Form 4 detailing changes in their beneficial ownership of Garrett Motion Inc. (GTX) common stock.
• The transactions involved the sale of GTX shares at a price of approximately $9.93 per share on February 25 and 26, 2025.
• After these transactions, Centerbridge Special Credit Partners III-Flex, L.P. is shown to beneficially own 24,314,384 shares indirectly, and Centerbridge Credit Partners Master, L.P. is shown to beneficially own 10,201,776 shares indirectly.
• The reporting persons disclaim beneficial ownership of the shares except to the extent of any proportionate pecuniary interest therein.

Sentiment

Score: 4

Explanation: The sentiment is slightly negative due to the reduction in stake by a major shareholder, which could indicate a lack of confidence or a change in investment strategy. However, the sales were executed at market prices, suggesting an orderly disposal rather than a fire sale.

Negatives

• Centerbridge Partners reduced their stake in Garrett Motion Inc. through a series of sales.

Risks

• Continued selling pressure from major shareholders like Centerbridge could negatively impact the stock price.

Industry Context

Share sales by major holders are common and can reflect portfolio rebalancing or changes in investment strategy. It's important to monitor if other major holders are doing the same.

Stakeholder Impact

• Shareholders may react negatively to the news of a major shareholder reducing their stake.
• The impact on employees, customers, suppliers, and creditors is likely to be minimal unless this is part of a larger strategic shift.

Key Dates