SCHEDULE 13D/A: Major Shareholder Mubbadrah Investments Reduces Stake in National Energy Services Reunited Corp. to 7.0%
Beneficial Ownership Amendment
Mubbadrah Investments LLC and its affiliates have reported the sale of over 1.4 million shares of National Energy Services Reunited Corp., reducing their beneficial ownership to 7.0% of the outstanding ordinary shares.
Summary
- Mubbadrah Investment LLC, along with Wild Investments LLC, Myrad Investment LLC, Yasser Al Barami, and Hilal Al Busaidi (collectively, the "Reporting Persons"), filed Amendment No. 7 to their Schedule 13D.
- The amendment reports the sale of 1,432,663 ordinary shares of National Energy Services Reunited Corp. by Mubbadrah in open market transactions.
- These sales occurred between July 3, 2024, and January 21, 2025, with average prices per share ranging from $8.35 to $9.70.
- Following these sales, the Reporting Persons beneficially own an aggregate of 6,661,474 ordinary shares, representing 7.0% of the Issuer's outstanding shares.
- The percentage is calculated based on 95,447,211 ordinary shares outstanding as of September 30, 2024, as reported by the Issuer on November 19, 2024.
- The Reporting Persons continue to review their investment and may sell or acquire additional shares in the future based on market conditions and the company's prospects.
Sentiment
Score: 4
Explanation: The filing reports a significant reduction in beneficial ownership by a major investor group through open market sales, which could be perceived as a negative signal regarding their long-term outlook or a need for liquidity, despite the neutral tone of the document.
Negatives
- The sale of 1,432,663 shares by Mubbadrah Investment LLC, a significant beneficial owner, reduces the Reporting Persons' aggregate stake to 7.0%, which could be interpreted by the market as a decrease in confidence or a strategic divestment.
Future Outlook
The Reporting Persons expect to continue reviewing their investment in National Energy Services Reunited Corp. and may determine to sell or acquire additional shares in the open market or private transactions. This review will be based on various factors, including current and anticipated trading prices, the company's financial condition and prospects, alternative investment opportunities, and general economic, financial market, and industry conditions.
Management Comments
- "The Reporting Persons expect to continue to review their investment in the Company in light of a variety of factors, including, without limitation, current and anticipated future trading prices for the Shares, the financial condition, results of operations and prospects of the Company, alternative investment opportunities, general economic, financial market and industry conditions and other factors that the Reporting Persons may deem material to their investment decisions."
- "Based on the foregoing, the Reporting Persons may determine to sell, or otherwise dispose of, all or some of the Shares beneficially owned by the Reporting Persons, or to purchase or otherwise acquire additional Shares, in the open market or in private transactions."
Industry Context
This Schedule 13D/A filing primarily reports changes in beneficial ownership by a significant investor group and does not provide specific industry context or trends.
Stakeholder Impact
- Shareholders: The reduction in stake by a significant holder could lead to concerns about institutional confidence and potentially put downward pressure on the stock price.
- Company Management: May need to address investor concerns regarding the significant shareholder's divestment.
Next Steps
- The Reporting Persons will continue to review their investment in National Energy Services Reunited Corp.
- The Reporting Persons may determine to sell or acquire additional shares in the future based on market conditions and company prospects.
Key Dates
| Date | Description |
|---|---|
| 09/27/2018 | Original Schedule 13D filed with the SEC. |
| 10/08/2019 | Amendment No. 1 to Schedule 13D filed. |
| 06/24/2020 | Amendment No. 2 to Schedule 13D filed. |
| 10/21/2020 | Amendment No. 3 to Schedule 13D filed. |
| 11/22/2021 | Amendment No. 4 to Schedule 13D filed. |
| 06/23/2022 | Amendment No. 5 to Schedule 13D filed. |
| 07/01/2024 | Date of first reported share sale in Schedule A (150,926 Ordinary Shares at $9.00). |
| 07/03/2024 | Start date of open market transactions for share sales by Mubbadrah. |
| 08/12/2024 | Amendment No. 6 to Schedule 13D filed. |
| 08/28/2024 | Date of share sale (15,085 Ordinary Shares at $9.50). |
| 08/29/2024 | Date of share sale (184,915 Ordinary Shares at $9.64). |
| 08/30/2024 | Date of share sale (200,000 Ordinary Shares at $9.70). |
| 09/30/2024 | Date as of which 95,447,211 Ordinary Shares were outstanding, as reported by the Issuer. |
| 10/03/2024 | Date of share sale (12,012 Ordinary Shares at $9.20). |
| 10/04/2024 | Date of share sale (8,700 Ordinary Shares at $9.20). |
| 10/07/2024 | Date of share sale (25,000 Ordinary Shares at $9.20). |
| 11/06/2024 | Date of share sale (200,000 Ordinary Shares at $9.20). |
| 11/19/2024 | Date Issuer filed Form 6-K reporting outstanding shares. |
| 12/02/2024 | Date of share sale (104,700 Ordinary Shares at $9.13). |
| 12/03/2024 | Date of share sale (566 Ordinary Shares at $9.05). |
| 12/06/2024 | Date of share sale (9,932 Ordinary Shares at $9.00). |
| 12/31/2024 | Date of share sale (1,300 Ordinary Shares at $9.00). |
| 01/03/2025 | Date of share sale (108,117 Ordinary Shares at $8.50). |
| 01/06/2025 | Date of event which requires filing of this statement (23,242 Ordinary Shares at $8.50). |
| 01/07/2025 | Date of share sale (310 Ordinary Shares at $8.50). |
| 01/08/2025 | Date of share sale (68,331 Ordinary Shares at $8.35). |
| 01/15/2025 | Date of share sale (19,527 Ordinary Shares at $9.00). |
| 01/16/2025 | Date of share sale (100,000 Ordinary Shares at $9.28). |
| 01/17/2025 | Date of share sale (100,000 Ordinary Shares at $9.27). |
| 01/21/2025 | End date of open market transactions for share sales by Mubbadrah. |
| 03/24/2025 | Date of filing and signatures for Amendment No. 7. |
Keywords
National Energy Services Reunited Corp., NESR, Mubbadrah Investment LLC, Wild Investments LLC, Myrad Investment LLC, Yasser Al Barami, Hilal Al Busaidi, Schedule 13D, beneficial ownership, share sale, SEC filing, energy services, oilfield services
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