Form 4: KKR Affiliates Sell OneStream Shares Following Secondary Offering

KKR and its affiliates have sold a significant number of OneStream Class A common stock shares following the company's secondary public offering.

Summary

• KKR and its affiliated entities have disposed of a total of 5,993,052 Class A common stock shares of OneStream, Inc.
• The shares were sold on November 18, 2024, at a price of $29.9925 per share.
• The transactions occurred following the conversion of Class D common stock into Class A common stock.
• The sale was part of a secondary public offering where the issuer purchased common units from certain equity holders.
• The common units were converted to Class D common stock, which was then converted to Class A common stock before the sale.

Sentiment

Score: 5

Explanation: The document reflects a standard transaction following a secondary offering. While the large sale could cause some short-term volatility, it is not inherently positive or negative.

Negatives

• The sale of a large number of shares by a major shareholder like KKR could potentially put downward pressure on the stock price.

Risks

• The large volume of shares sold by KKR could indicate a lack of long-term confidence in OneStream's future performance.
• The market may interpret the sale as a negative signal, potentially leading to a decrease in investor confidence.

Industry Context

This transaction is a common occurrence following a secondary offering, where major shareholders may choose to reduce their positions. It is important to monitor how the market reacts to this large sale.

Comparison to Industry Standards

• Secondary offerings and subsequent share sales by major shareholders are a typical part of the lifecycle of publicly traded companies.
• Similar transactions have been observed in other tech companies post-IPO, such as Snowflake and Datadog, where early investors and private equity firms have reduced their stakes after lock-up periods expired.
• The sale price of $29.9925 per share is a key metric to compare against the performance of OneStream's peers in the enterprise software sector.

Related Party Transactions

• The Issuer used a portion of the net proceeds from the closing of its secondary offering of Class A Common Stock to purchase Common Units from certain of the Issuer's equityholders, including KKR Dream Holdings LLC, at a price of $29.9925 per Common Unit.

Stakeholder Impact

• Shareholders may experience short-term price fluctuations due to the large volume of shares sold.
• Employees may be indirectly affected by any changes in the company's stock price or investor sentiment.
• Customers and suppliers are unlikely to be directly impacted by this transaction.

Key Dates

Keywords

OneStream, KKR, Class A Common Stock, Secondary Offering, Share Sale, Class D Common Stock, Common Units, Equity Transaction