Form 4: THRC Holdings Increases Stake in ProFrac Holding Corp. (ACDC) with Recent Stock Purchases

THRC Holdings, LP, a significant shareholder in ProFrac Holding Corp. (ACDC), has increased its holdings through open market purchases of Class A common stock.

Summary

• THRC Holdings, LP, along with related entities THRC Management, LLC and Dan Wilks, filed a Form 4 disclosing changes in beneficial ownership of ProFrac Holding Corp. (ACDC) stock.
• On August 22, 2024, THRC Holdings purchased 90,821 shares of Class A common stock at a weighted average price of $6.11 per share, in prices ranging from $6.07 to $6.13.
• On August 23, 2024, THRC Holdings purchased an additional 15,645 shares of Class A common stock at a weighted average price of $6.50 per share, in prices ranging from $6.49 to $6.50.
• Following these transactions, THRC Holdings directly holds 77,304,011 shares of ProFrac Holding Corp.'s Class A common stock.
• The filing clarifies that the reported amount of securities beneficially owned does not include the 30,000 Series A Redeemable Convertible Preferred Stock as reported on 10/3/23.
• THRC Management, LLC, as the General Partner of THRC Holdings, has voting and investment control over these shares, and Dan Wilks, as the sole manager of THRC Management, may be deemed to exercise voting and investment power over these shares.

Sentiment

Score: 6

Explanation: The sentiment is neutral to slightly positive. The increased stake suggests confidence, but it's a routine filing and doesn't contain groundbreaking news.

Positives

• The increased stake by THRC Holdings could be interpreted as a sign of confidence in ProFrac Holding Corp.'s future prospects.

Industry Context

Form 4 filings are standard practice for significant shareholders and insiders, providing transparency into their trading activities. This filing indicates continued investment by a major shareholder in ProFrac Holding Corp.

Comparison to Industry Standards

• It is common for major shareholders in publicly traded companies to periodically adjust their holdings.
• The size of the purchases is not particularly large relative to the total outstanding shares of ProFrac Holding Corp., but it is still a notable transaction given the existing ownership stake of THRC Holdings.
• Comparable companies in the oilfield services sector often see similar insider activity, reflecting management's and major shareholders' views on the company's prospects.

Stakeholder Impact

• The increased stake by THRC Holdings could reassure shareholders about the company's direction.

Key Dates