SCHEDULE 13G: CastleKnight Entities Disclose 6.8% Passive Stake in KLX Energy Services Holdings

A group of entities associated with CastleKnight, including CastleKnight Master Fund LP and Aaron Weitman, have disclosed a passive 6.8% beneficial ownership stake in KLX Energy Services Holdings, Inc., totaling 1,220,957 shares.

Summary

• The filing is a Schedule 13G, indicating a passive investment in KLX Energy Services Holdings, Inc. (Issuer) by a group of reporting persons.
• The reporting persons include CastleKnight Master Fund LP, CastleKnight Fund GP LLC, Weitman Capital LLC, Aaron Weitman, CastleKnight Management LP, and CastleKnight Management GP LLC.
• The aggregate amount beneficially owned by the group is 1,220,957 shares of KLX Energy Services Holdings, Inc. Common Stock, $0.01 Par Value.
• This beneficial ownership represents 6.8% of the outstanding class of securities.
• The reported shares include 3,777 options, each exercisable for one hundred shares of Common Stock, totaling 377,700 shares from options.
• All reporting persons share both voting and dispositive power over the 1,220,957 shares.
• The filing certifies that the securities were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer.

Sentiment

Score: 6

Explanation: The filing is a routine disclosure of a passive ownership stake by an institutional investor, which is generally neutral but can be seen as a minor positive signal of investor confidence.

Positives

• A significant institutional investor, CastleKnight, has taken a 6.8% stake in KLX Energy Services Holdings, Inc., which may signal confidence in the company's prospects.
• The filing is a Schedule 13G, indicating a passive investment, which suggests no immediate intent to influence or change control of the issuer, potentially reducing uncertainty for current management.

Future Outlook

The reporting persons have certified that the securities were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of KLX Energy Services Holdings, Inc., indicating a passive investment strategy.

Management Comments

• Aaron Weitman, signing on behalf of the CastleKnight entities, certified that the securities were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer.

Industry Context

This Schedule 13G filing reflects a significant passive investment by CastleKnight in KLX Energy Services Holdings, Inc., a company operating in the energy services sector. Such filings are routine disclosures for institutional investors crossing the 5% ownership threshold and do not inherently indicate broader industry trends, though they can reflect investor confidence in specific companies within the sector.

Stakeholder Impact

• Shareholders may view the increased institutional ownership by CastleKnight as a positive signal of investor confidence in KLX Energy Services Holdings, Inc.

Key Dates

Keywords

KLX Energy Services Holdings, CastleKnight, Schedule 13G, beneficial ownership, common stock, institutional investment, passive stake, energy services