SCHEDULE: Bain Capital Reduces Redwire Stake to 6.1%

Sentiment:

Beneficial Ownership Update 19 September 2025 4:53 PM

Bain Capital Credit Member LLC and BCC Redwire Aggregator L.P. have reduced their beneficial ownership in Redwire Corp to 6.1% after converting and selling 11 million shares of common stock.

Worse than expectedBain Capital, a significant institutional investor, has reduced its beneficial ownership in Redwire Corp from a previously higher stake to 6.1% by selling 11,000,000 shares of Common Stock. This reduction by a major holder is generally perceived as a negative signal for the company's stock.

Summary

Bain Capital Credit Member, LLC and BCC Redwire Aggregator, L.P. (the "Reporting Persons") filed Amendment No. 7 to their Schedule 13D.
On September 15, 2025, the Reporting Persons exercised an option to convert 31,719.43 shares of Series A Convertible Preferred Stock into 11,000,000 shares of Redwire Corp Common Stock.
This conversion included 1,830.57 shares of Convertible Preferred Stock due to accrued but unpaid paid-in-kind dividends.
Following the conversion, on September 17, 2025, the Reporting Persons sold all 11,000,000 shares of Common Stock pursuant to Rule 144 of the Securities Act of 1933.
After these transactions, the Reporting Persons beneficially own approximately 28,509.34 shares of Convertible Preferred Stock, convertible into 9,347,325 shares of Common Stock.
This remaining beneficial ownership represents approximately 6.1% of Redwire Corp's outstanding Common Stock, based on 144,039,944 shares outstanding as of August 7, 2025, plus the convertible shares.

Sentiment

Score: 3

Explanation: The sentiment is negative due to a major institutional investor significantly reducing its stake in the company, which can signal a lack of confidence or a shift in investment priorities.

Negatives

A significant institutional investor, Bain Capital, has substantially reduced its beneficial ownership in Redwire Corp by selling 11,000,000 shares of Common Stock.
The reduction in stake from a major holder could be perceived negatively by the market, potentially signaling a lack of conviction or a shift in investment strategy by Bain Capital.

Future Outlook

Industry Context

Management Changes

Role	Previous Person	New Person	Effective Date	Reason
Board Member	Michael J. Bevacqua	NA	06/26/2025	Resignation

Stakeholder Impact

Shareholders: May experience negative sentiment and potential downward pressure on the stock price due to a major institutional investor reducing its stake.

Key Dates

Date	Description
10/28/2022	Effective date of the Certificate of Designation of the Convertible Preferred Stock.
11/10/2022	Original Schedule 13D filing date.
12/05/2022	Amendment No. 1 to Schedule 13D filed.
01/22/2025	Amendment No. 2 to Schedule 13D filed.
06/10/2025	Amendment No. 3 to Schedule 13D filed.
06/17/2025	Amendment No. 4 to Schedule 13D filed.
06/23/2025	Amendment No. 5 to Schedule 13D filed.
06/26/2025	Michael J. Bevacqua, Partner at the Reporting Persons, resigned as a member of Redwire Corp's Board of Directors.
07/19/2025	Amendment No. 6 to Schedule 13D filed.
08/07/2025	Date of Issuer's Form 10-Q, stating 144,039,944 shares of Common Stock outstanding.
09/15/2025	Reporting Persons exercised option to convert 31,719.43 shares of Convertible Preferred Stock into Common Stock.
09/17/2025	Reporting Persons sold 11,000,000 shares of Common Stock.
09/19/2025	Date of filing of Amendment No. 7 to Schedule 13D.

Recommendation

sell

The significant reduction in beneficial ownership by a sophisticated institutional investor like Bain Capital, involving the sale of 11,000,000 shares, suggests a potential loss of conviction or a strategic reallocation of capital away from Redwire Corp. This action by a major holder is typically interpreted as a negative signal, warranting a 'sell' recommendation for investors who prioritize institutional sentiment and potential future stock performance implications.

Keywords

Redwire Corp, Bain Capital, Schedule 13D, Beneficial Ownership, Common Stock, Convertible Preferred Stock, Equity Sale, Institutional Investor

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