SCHEDULE: Nomura Holdings Discloses 9.8% Stake in Martin Midstream

Nomura Holdings Inc. and its subsidiary Nomura Global Financial Products Inc. reported beneficial ownership of 9.8% of Martin Midstream Partners L.P.'s common units.

Summary

• Nomura Holdings Inc. and its wholly-owned subsidiary, Nomura Global Financial Products Inc., jointly reported beneficial ownership of 3,837,328 common units of Martin Midstream Partners L.P.
• This ownership represents 9.8% of the outstanding common units of Martin Midstream Partners L.P.
• The percentage is calculated based on 39,055,086 common units outstanding as of June 30, 2025, as reported in Martin Midstream's Form 10-Q filed with the SEC on July 21, 2025.
• The securities were acquired and are held in the ordinary course of business and not for the purpose of changing or influencing control of the issuer.

Sentiment

Score: 7

Explanation: The filing indicates a significant, passive institutional investment by Nomura Holdings in Martin Midstream Partners, suggesting a degree of confidence from a major financial entity. There are no negative disclosures within the filing itself.

Positives

• A significant institutional investor, Nomura Holdings, maintains a substantial stake, indicating a degree of confidence in Martin Midstream Partners L.P.
• The holding is for ordinary course of business, not for control, suggesting a passive investment that does not signal activist intent.

Negatives

• No direct negative information is disclosed in this beneficial ownership filing.

Risks

• The filing itself does not detail specific risks related to Martin Midstream Partners L.P.'s operations or financial health.
• Investment in common units carries inherent market risks, including price volatility and dependence on the issuer's performance.

Future Outlook

This filing is a disclosure of current beneficial ownership and does not contain forward-looking statements or guidance regarding the issuer's future performance or Nomura's future investment intentions beyond the statement that the securities are held in the ordinary course of business.

Management Comments

• The securities referred to above were acquired and are held in the ordinary course of business and were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer of the securities and were not acquired and are not held in connection with or as a participant in any transaction having that purpose or effect, other than activities solely in connection with a nomination under ?? 240.14a-11.

Industry Context

This filing indicates a significant passive investment by a major global financial institution in a U.S. midstream energy limited partnership. Such investments are common for institutional portfolios seeking exposure to energy infrastructure assets, which often provide stable cash flows and distributions.

Comparison to Industry Standards

• A 9.8% stake is a substantial passive investment for an institutional holder in a publicly traded MLP, positioning Nomura as a significant, albeit non-controlling, shareholder.
• Nomura's role as a broker/dealer and financial products provider aligns with holding such positions in the ordinary course of business, often for client accounts or proprietary trading strategies.
• Comparable institutional holdings in midstream MLPs often range from 5% to 15% for passive investors, depending on the fund's mandate and the MLP's market capitalization, making this holding consistent with typical institutional portfolio allocations.

Stakeholder Impact

• Shareholders: Increased transparency regarding a significant institutional holder. May be viewed positively as a vote of confidence in the company.
• Management: Awareness of a large, passive institutional investor in the company's common units.

Next Steps

• Nomura Holdings Inc. and Nomura Global Financial Products Inc. will continue to monitor their beneficial ownership in Martin Midstream Partners L.P.
• Further amendments to this Schedule 13G would be filed if there are significant changes in ownership (e.g., ownership crosses 10% or drops below 5%) or if the purpose of the holding changes.

Key Dates

Recommendation

This Schedule 13G filing primarily serves as a disclosure of a significant passive ownership stake by Nomura Holdings. It does not provide new operational or financial performance data for Martin Midstream Partners L.P. that would warrant a change in investment thesis. The substantial, non-control-oriented holding by a major financial institution suggests a baseline level of confidence, supporting a 'hold' recommendation for existing investors, while new investors would need to conduct further due diligence on Martin Midstream's fundamentals.

Keywords

Martin Midstream Partners L.P., Nomura Holdings Inc., Nomura Global Financial Products Inc., Schedule 13G, Beneficial Ownership, Common Units, MLP, Midstream, Energy Infrastructure