SCHEDULE 13D/A: Anson Funds Management LP Discloses 7.1% Stake in Lovesac Co, Amending Beneficial Ownership Filing
Beneficial Ownership Report Amendment
Anson Funds Management LP and its affiliates have updated their Schedule 13D filing, disclosing a beneficial ownership of 7.1% in Lovesac Co's common stock, alongside significant economic exposure through derivative agreements.
Summary
- Anson Funds Management LP, Anson Management GP LLC, Tony Moore, Anson Advisors Inc., Amin Nathoo, and Moez Kassam (collectively, the "Reporting Persons") beneficially own 1,045,665 shares of Lovesac Co common stock.
- This beneficial ownership represents 7.1% of Lovesac Co's outstanding common stock, calculated based on 14,793,504 shares outstanding as of April 7, 2025.
- Approximately $25,364,326 (excluding brokerage commissions) was used from the Funds' working capital to purchase the beneficially owned common stock.
- The Reporting Persons also hold long cash settled swaps (Long Derivative Agreements) referencing an aggregate of 634,160 shares of Common Stock, representing economic exposure comparable to 4.3% of the outstanding shares.
- The Reporting Persons disclaim beneficial ownership in the shares referenced by the Long Derivative Agreements, as these agreements do not provide voting or dispositive power over the underlying shares.
- All reported transactions in Lovesac Co common stock by the Reporting Persons during the past sixty days were effected in the open market.
Sentiment
Score: 5
Explanation: The document is a factual disclosure of beneficial ownership and related financial instruments, providing no explicit positive or negative sentiment regarding the issuer's performance or outlook.
Future Outlook
The document does not provide any forward-looking statements or guidance regarding Lovesac Co's future performance or the Reporting Persons' future intentions beyond their current ownership structure.
Industry Context
This filing is a standard disclosure of a significant ownership stake by an investment firm in a publicly traded company, common in the financial industry for transparency regarding large investments and potential influence.
Stakeholder Impact
- Shareholders: The disclosure of a significant 7.1% stake by Anson Funds Management LP could be perceived as a vote of confidence or a precursor to potential shareholder activism, which may influence other investors' perceptions and decisions.
- Company Management: A large institutional stake may lead to increased engagement or scrutiny from the investor regarding corporate strategy, financial performance, or governance.
Key Dates
| Date | Description |
|---|---|
| 2024-07-09 | Original Schedule 13D filed with the SEC. |
| 2025-04-03 | Reporting Persons purchased 100,000 shares of Common Stock at a weighted average price of $15.9388 per share (price range $15.5800-$16.2000). |
| 2025-04-07 | Date as of which 14,793,504 shares of Common Stock were reported outstanding in the Issuer's Annual Report on Form 10-K. |
| 2025-04-10 | Date of event which requires filing of this statement (also the filing date of Lovesac Co's Annual Report on Form 10-K for the year ended February 2, 2025). Reporting Persons purchased 13,404 shares of Common Stock at a weighted average price of $16.5946 per share (price range $16.5800-$16.6000). |
| 2025-04-14 | Date Amendment No. 2 to Schedule 13D was signed by the Reporting Persons. |
Keywords
Lovesac Co, Anson Funds Management LP, Schedule 13D, Beneficial Ownership, Common Stock, Investment, SEC Filing, Derivative Agreements, Institutional Investor
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