SCHEDULE: MacKay Shields, NYLI MacKay Disclose 21.98% Stake in Nine Energy Service
Beneficial Ownership Disclosure
MacKay Shields LLC and NYLI MacKay High Yield Corporate Bond Fund have jointly disclosed beneficial ownership of 21.98% of Nine Energy Service, Inc.'s common stock.
Summary
- MacKay Shields LLC and NYLI MacKay High Yield Corporate Bond Fund are reporting persons in this Schedule 13G filing.
- MacKay Shields LLC beneficially owns 1,662,134 shares of Nine Energy Service, Inc. common stock, representing 11.91% of the class.
- NYLI MacKay High Yield Corporate Bond Fund beneficially owns 1,404,300 shares of Nine Energy Service, Inc. common stock, representing 10.07% of the class.
- Collectively, the reporting persons beneficially own 3,066,434 shares, representing 21.98% of the common stock outstanding.
- The percentage ownership is calculated based on 13,950,000 shares of Common Stock outstanding as of March 5, 2026.
- Both reporting persons hold shared voting and shared dispositive power over their respective shares.
- The securities were acquired in the ordinary course of business and not for the purpose of changing or influencing the control of Nine Energy Service, Inc.
Sentiment
Score: 6
Explanation: StockSavvy.ai views this as a moderately positive disclosure, primarily due to the significant institutional investment indicating confidence, coupled with the explicit statement of non-activist intent, suggesting stability rather than potential disruption.
Positives
- The acquisition of shares was made in the ordinary course of business, indicating a standard investment rather than an activist intent.
- The reporting persons certified that the shares were not acquired for the purpose or with the effect of changing or influencing the control of the issuer.
Future Outlook
This filing does not contain any forward-looking statements or guidance regarding the issuer's future performance or outlook.
Industry Context
StockSavvy.ai notes that significant institutional ownership, such as the combined 21.98% stake disclosed by MacKay Shields LLC and NYLI MacKay High Yield Corporate Bond Fund, can signal institutional confidence in a company within the oilfield services sector. While the filing explicitly states a non-control intent, such substantial holdings often lead to increased scrutiny and engagement from the investment community, potentially influencing market perception for Nine Energy Service, Inc. compared to its peers.
Corporate Governance
| Change Type | Description | Effective Date | Impact Assessment |
|---|---|---|---|
| Voting Agreement | MacKay Shields LLC and NYLI MacKay High Yield Corporate Bond Fund are party to a voting agreement with Nine Energy Service, Inc. This agreement allows them to vote up to 10% of the total voting power of all outstanding voting securities of the Company on any matter, after giving effect to any other voting agreements. | March 5, 2026 | This agreement limits the voting power of the reporting persons to 10% despite their higher beneficial ownership, reinforcing their stated non-control intent and potentially stabilizing corporate governance by preventing a single large block from exercising disproportionate influence. |
Related Party Transactions
- MacKay Shields LLC acts as an investment adviser to various clients, including being a sub-investment adviser to NYLI MacKay High Yield Corporate Bond Fund. Both entities are reporting persons in this filing, indicating a related party relationship in their beneficial ownership of Nine Energy Service, Inc. common stock.
Stakeholder Impact
- Shareholders: The disclosure of significant institutional ownership by reputable firms may instill confidence and potentially stabilize the shareholder base.
- Management: The explicit statement that the shares were not acquired for control purposes provides clarity to management regarding the intentions of these large shareholders, potentially reducing concerns about activist pressure.
Key Dates
| Date | Description |
|---|---|
| March 5, 2026 | Date of event requiring the filing of this statement; also the date for which 13,950,000 shares of Common Stock were outstanding and the date of the voting agreement with the Issuer. |
| March 24, 2026 | Date the Joint Filing Agreement was executed. |
| March 31, 2026 | Date the Schedule 13G was signed by the Chief Compliance Officer. |
Keywords
Nine Energy Service, MacKay Shields, NYLI MacKay High Yield Corporate Bond Fund, Beneficial Ownership, Schedule 13G, Common Stock, Institutional Investor, Oilfield Services
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