SCHEDULE: Apollo Affirms Majority Stake in Rackspace Technology

Apollo Management and its affiliates report continued beneficial ownership of 53.2% of Rackspace Technology, Inc. common stock.

Summary

• Apollo Management Holdings GP, LLC and its affiliated entities collectively beneficially own 129,609,000 shares of Rackspace Technology, Inc. common stock.
• This ownership represents 53.2% of Rackspace Technology, Inc.'s total outstanding common stock.
• The percentage is calculated based on 243,592,120 shares of common stock outstanding as of November 4, 2025, as disclosed in Rackspace's Form 10-Q filed on November 10, 2025.
• The primary reporting persons, including Apollo Management Holdings GP, LLC, Apollo Management, L.P., and Apollo Management Holdings, L.P., each hold shared voting and shared dispositive power over 129,609,000 shares.
• Other Apollo entities, such as AP Inception Co-Invest ML Borrower, L.P. and AP Inception ML Borrower, L.P., hold 69,609,000 shares (28.6%) and 60,000,000 shares (24.6%) respectively, contributing to the aggregate beneficial ownership.
• This filing is Amendment No. 9 to the Schedule 13G, indicating ongoing disclosure of Apollo's significant stake in the company.

Sentiment

Score: 6

Explanation: StockSavvy.ai views this as a neutral to slightly positive update, confirming Apollo's continued strong commitment and control over Rackspace Technology. While concentrated ownership can have drawbacks, it also signals stability and a clear strategic direction from a major institutional investor.

Positives

• Apollo's continued majority ownership (53.2%) may signal long-term commitment and stability for Rackspace Technology, Inc.
• A large institutional investor like Apollo can provide strategic guidance and potential access to capital for the company.

Negatives

• Concentrated ownership by a single entity or group can limit liquidity for other shareholders.
• Minority shareholders may have reduced influence over corporate decisions due to Apollo's majority control.

Risks

• Potential for conflicts of interest between Apollo's objectives as a private equity firm and the interests of public minority shareholders.
• Future changes in Apollo's investment strategy could lead to a significant divestment, potentially impacting Rackspace Technology, Inc.'s share price and market perception.

Future Outlook

The filing is an ownership disclosure and does not contain forward-looking statements or guidance regarding Rackspace Technology, Inc.'s future performance or strategic direction.

Management Comments

• Messrs. Scott Kleinman, James Zelter, and Marc Rowan, as managers and executive officers of Apollo Management Holdings GP, LLC, disclaim beneficial ownership of all shares of Common Stock included in this filing, stating that the report should not be construed as an admission of beneficial ownership for purposes of Section 13(d) or 13(g) of the Securities Exchange Act of 1934, as amended, or for any other purpose.

Industry Context

StockSavvy.ai notes that private equity firms like Apollo often take significant stakes in companies to drive operational improvements and strategic transformations. Apollo's continued majority ownership in Rackspace Technology, a cloud computing and managed hosting provider, suggests a sustained commitment to its investment thesis for the company. This level of control allows Apollo to exert substantial influence over Rackspace's strategic direction, capital allocation, and potential future transactions, which is a common characteristic of private equity-backed public companies.

Comparison to Industry Standards

• NA. This filing is a beneficial ownership report and does not contain performance metrics or operational results that can be directly compared to industry standards or specific competitors like Amazon Web Services, Microsoft Azure, or Google Cloud Platform. The focus is solely on the ownership structure of Rackspace Technology, Inc. by Apollo and its affiliates.

Management Changes

Corporate Governance

Legal Proceedings

• The filing is an ownership disclosure and does not mention any litigation or regulatory matters concerning Rackspace Technology, Inc. or the reporting persons.

Related Party Transactions

• The filing is an ownership disclosure and does not disclose any related party dealings involving Rackspace Technology, Inc.

Stakeholder Impact

• Shareholders: Continued majority ownership by Apollo means minority shareholders will have limited influence on major corporate decisions. It could also imply stability and strategic focus.
• Employees: Apollo's long-term commitment could provide stability, but also potential for strategic shifts or cost-cutting measures driven by the private equity owner.
• Customers: Strategic direction influenced by Apollo could lead to changes in service offerings or focus, potentially impacting customer experience.

Next Steps

• The filing does not explicitly mention future actions, events, or milestones for Rackspace Technology, Inc. beyond the ongoing reporting requirements for beneficial ownership.

Key Dates

Keywords

Rackspace Technology, Apollo Management, beneficial ownership, Schedule 13G, common stock, institutional investor, majority stake, private equity, RACK, 750102105