SCHEDULE: Apollo Entities Maintain Majority Stake in Rackspace

Apollo Management Holdings GP, LLC and its affiliates report a continued 53.2% beneficial ownership in Rackspace Technology, Inc. common stock.

Summary

• Apollo Management Holdings GP, LLC, along with several affiliated entities, collectively known as the "Reporting Persons," beneficially own 129,609,000 shares of Rackspace Technology, Inc. common stock.
• This ownership represents 53.2% of Rackspace Technology, Inc.'s outstanding common stock.
• The percentage is 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 Reporting Persons hold shared voting power and shared dispositive power over all 129,609,000 shares, with no sole voting or dispositive power.
• Specific Apollo entities, including 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.
• Several individuals and entities, including Messrs. Scott Kleinman, James Zelter, and Marc Rowan, disclaim beneficial ownership of the reported shares.

Sentiment

Score: 6

Explanation: The filing is a routine update on a significant, long-standing ownership stake. It's neutral in terms of new news but reflects continued institutional commitment, which can be seen as a positive signal for stability, albeit with potential implications for minority shareholders.

Positives

• The significant ownership stake by Apollo, a major private equity firm, indicates strong institutional confidence and a long-term strategic interest in Rackspace Technology, Inc.

Negatives

• The substantial ownership by Apollo could limit the public float and influence the company's strategic direction, potentially reducing flexibility for minority shareholders.

Risks

• Concentrated ownership by a single institutional group like Apollo could lead to decisions that primarily benefit the controlling shareholder rather than all shareholders.
• The disclaimer of beneficial ownership by certain individuals and entities within the Apollo structure, while standard, highlights the complex nature of control and responsibility.

Future Outlook

This filing does not contain forward-looking statements or guidance regarding Rackspace Technology, Inc.'s future performance or strategic direction.

Industry Context

The continued significant ownership by Apollo in Rackspace Technology, Inc. underscores the ongoing private equity interest in the cloud computing and managed services sector, often driven by opportunities for operational improvements and market consolidation.

Comparison to Industry Standards

• NA

Stakeholder Impact

• Shareholders: The large ownership by Apollo means that a significant portion of voting power and control rests with this institutional investor, potentially influencing strategic decisions, capital allocation, and future corporate actions.
• Management: Apollo's substantial stake likely gives them significant influence over management appointments and corporate strategy.

Key Dates

Recommendation

This Schedule 13G filing is an amendment reporting a consistent, significant beneficial ownership by Apollo entities in Rackspace Technology, Inc. It does not present new financial performance data, strategic shifts, or material changes in ownership that would warrant an immediate change in investment recommendation. The existing large institutional ownership is a known factor for Rackspace. Investors should 'hold' and consider this filing as a routine disclosure, continuing to evaluate the company based on its operational performance, financial results, and broader market conditions rather than this ownership update alone.

Keywords

Rackspace Technology, Apollo Management, Beneficial Ownership, SEC Filing, Schedule 13G, Institutional Investor, Common Stock, Cloud Computing, Managed Services