SCHEDULE 13D/A: Major Shareholder Adjusts Quaker Chemical Stake Through Partial VPF Settlement

Sentiment:

Beneficial Ownership Update


Gulf Hungary Holding and its subsidiary QH Hungary Holdings Limited have filed an Amendment No. 28 to their Schedule 13D, detailing a partial settlement of prepaid variable share forward transactions involving 18,000 shares of Quaker Chemical Corporation.

Capital raiseQH Hungary has obligations under a Margin Loan and Master Terms and Conditions for Prepaid Variable Share Forward Transactions with Citibank and Royal Bank of Canada, which are forms of financing secured by shares of Quaker Chemical Corporation for the reporting person.

Summary

  • Gulf Hungary Holding Korlatolt Felelossegu Tarsasag (Gulf Hungary) and its wholly-owned subsidiary QH Hungary Holdings Limited (QH Hungary) filed Amendment No. 28 to their Schedule 13D regarding their beneficial ownership in Quaker Chemical Corporation.
  • The filing reports a 'Partial Settlement' of existing prepaid variable share forward contracts (VPFs) with Citibank N.A. and Royal Bank of Canada (RBC).
  • QH Hungary settled a portion of these VPFs by delivering an aggregate of 18,000 shares of Common Stock to Citibank and RBC over three dates: December 30, 2024, December 31, 2024, and January 2, 2025.
  • After the Partial Settlement, Gulf Hungary beneficially owns 3,871,112 shares of Quaker Chemical Common Stock, representing approximately 21.8% of the outstanding shares.
  • QH Hungary directly beneficially owns 3,866,095 shares, representing approximately 21.7% of the outstanding shares.
  • The beneficial ownership percentages are based on 17,787,813 shares of Common Stock outstanding as of October 28, 2024, as reported in Quaker Chemical's Form 10-Q.
  • Of QH Hungary's shares, 2,123,167 shares are pledged to Citigroup Global Markets Inc. as custodian for a Margin Loan, and 1,247,842 shares are pledged to Citibank and 495,086 shares are pledged to RBC under various Prepaid Variable Share Forward Transactions.
  • All 3,866,095 shares directly owned by QH Hungary remain subject to a Shareholder Agreement.

Sentiment

Score: 5

Explanation: The document is a factual update on a shareholder's beneficial ownership and financial arrangements, with no explicit positive or negative implications for the issuer's performance or outlook.

Future Outlook

NA

Industry Context

This filing is a routine update on a significant shareholder's beneficial ownership and financial arrangements, and does not provide broader industry context or trends.

Stakeholder Impact

  • Shareholders: Provides updated information on the beneficial ownership of a significant shareholder and the financial arrangements securing their stake.
  • Creditors (Citibank, RBC): Details the shares pledged as collateral for existing financial obligations.

Key Dates

DateDescription
2019-08-09Original Schedule 13D filed
2020-04-13Amendment No. 1 to Schedule 13D filed
2020-05-19Date of Citi PVF Security Agreement and Citi Master Confirmation
2020-05-26Date of RBC PVF Security Agreement and RBC Master Confirmation
2024-10-28Date as of which 17,787,813 shares of Common Stock were outstanding
2024-10-31Date Issuer's Quarterly Report on Form 10-Q for Q3 2024 was filed
2024-11-22Latest amendment date for certain Citi and RBC Supplemental Confirmations
2024-12-30First date of Partial Settlement of VPFs by QH Hungary
2024-12-31Second date of Partial Settlement of VPFs by QH Hungary
2025-01-02Third date of Partial Settlement of VPFs by QH Hungary and filing date of Amendment No. 28

Keywords

Quaker Chemical Corporation, Schedule 13D, Beneficial Ownership, Variable Prepaid Forward, VPF, Share Pledge, Gulf Hungary Holding, QH Hungary Holdings Limited, SEC Filing, Common Stock

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