Form 4: SkyWater Director Sells 188K Shares

A director and 10% owner of SkyWater Technology, Loren A. Unterseher, reported the sale of 188,976 shares of common stock for approximately $1.98 million.

Summary

• Loren A. Unterseher, a Director and 10% Owner of SkyWater Technology, Inc. (SKYT), reported the sale of 188,976 shares of common stock.
• The transaction occurred on September 12, 2025, at a weighted average price of $10.4719 per share, totaling approximately $1,979,999.94.
• Sale prices ranged from $10.14 to $10.81 per share.
• The sale was not indicated as being made pursuant to a Rule 10b5-1 trading plan.
• Following the transaction, Mr. Unterseher, directly and indirectly through various entities and trusts, beneficially owns a total of 12,411,372 shares of common stock.
• Beneficial ownership includes 7,171,626 shares held directly by CMI Oxbow Partners, LLC, 3 shares by Oxbow Industries, LLC, and 23,713 shares directly by Mr. Unterseher.
• Indirect beneficial ownership is held through a 2023 grantor retained annuity trust (2,480,746 shares), trusts for the benefit of his son (230,580 shares each), trusts for the benefit of his daughter (230,579 shares each), by his spouse (52,317 shares), a family irrevocable trust (531,283 shares), a 2024 grantor retained annuity trust (1,229,864 shares), and a revocable trust (2 shares).

Sentiment

Score: 4

Explanation: The sentiment is moderately negative due to a significant insider sale by a director and 10% owner, especially given it was not under a 10b5-1 plan. While it's a mandatory disclosure and not necessarily indicative of fundamental issues, it can create negative market perception.

Negatives

• A significant sale of 188,976 shares by a director and 10% owner, Loren A. Unterseher, could be interpreted as a negative signal regarding his outlook on the company's near-term prospects.
• The transaction was not reported as being executed under a Rule 10b5-1 trading plan, suggesting it was a discretionary sale rather than a pre-scheduled one.

Risks

• Insider selling, especially when not under a pre-arranged 10b5-1 plan, can lead to negative market sentiment and potentially impact the company's stock price.
• The sale by a director and significant shareholder might be perceived by investors as a lack of confidence in the company's future performance.

Future Outlook

NA

Industry Context

NA

Related Party Transactions

• Loren A. Unterseher is President of CMI Oxbow Partners, LLC and Managing Partner of Oxbow Industries, LLC, which is the majority member of CMI. These entities directly hold shares of common stock.
• Mr. Unterseher's beneficial ownership includes shares held indirectly through various trusts, including grantor retained annuity trusts, trusts for the benefit of his children, a family irrevocable trust, and a revocable trust, as well as shares held by his spouse.

Stakeholder Impact

• Shareholders may interpret the insider sale as a negative signal, potentially leading to decreased confidence and downward pressure on the stock price.
• Investment professionals may scrutinize the reasons behind the discretionary sale by a key insider.

Key Dates

Recommendation

While a significant insider sale by a director and 10% owner, especially one not under a 10b5-1 plan, is a negative signal, it represents a single transaction. Investors should 'hold' and monitor for further insider activity or company-specific news that could provide more context. This transaction alone does not warrant an immediate 'sell' recommendation without additional fundamental analysis or a pattern of similar insider behavior, but it does introduce a cautionary note.

Keywords

SkyWater Technology, SKYT, Insider Trading, Form 4, Stock Sale, Director, 10% Owner, Loren A. Unterseher, Beneficial Ownership