SCHEDULE 13D/A: EIG Veteran Equity Aggregator Reduces Stake in USA Compression Partners Below 5%

Sentiment:

Beneficial Ownership Amendment


EIG Veteran Equity Aggregator, L.P. has significantly reduced its beneficial ownership in USA Compression Partners, LP, converting preferred units and selling common units, resulting in its stake falling below 5%.

Summary

  • EIG Veteran Equity Aggregator, L.P. (the "Reporting Person") filed Amendment No. 11 to its Schedule 13D, updating its beneficial ownership in USA Compression Partners, LP (the "Issuer").
  • As of the filing date, the Reporting Person beneficially owns 3,363,378 Common Units, representing 2.7% of the total Common Units outstanding.
  • This percentage is calculated based on 117,582,364 Common Units outstanding as of May 1, 2025, plus 4,204,223 Common Units issued to the Reporting Person and 3,363,378 Common Units issuable upon conversion of Preferred Units held by the Reporting Person.
  • On June 3, 2025, the Reporting Person elected to convert 84,132.81 Series A Perpetual Preferred Units (Preferred Units) into 4,204,223 Common Units (Conversion Units).
  • Each Preferred Unit is convertible into Common Units at a rate of $1,000 (plus accrued and unpaid distributions) divided by $20.0115.
  • On June 10, 2025, the Reporting Person sold all 4,204,223 Conversion Units in an open market transaction at a price of $23.60 per Conversion Unit.
  • As of June 11, 2025, the Reporting Person ceased to have beneficial ownership of more than 5% of the Common Units.

Sentiment

Score: 4

Explanation: The sentiment is slightly negative due to a significant investor reducing their stake below 5%, which can be perceived as a lack of conviction or a strategic exit by a major holder. However, the document is purely factual and does not contain negative commentary on the company's performance.

Negatives

  • A significant institutional investor, EIG Veteran Equity Aggregator, L.P., has reduced its stake in USA Compression Partners, LP below the 5% threshold, indicating a divestment of a substantial portion of its holdings.

Future Outlook

The document does not provide any forward-looking statements or guidance from USA Compression Partners, LP. It solely details a change in beneficial ownership by a specific investor.

Management Comments

  • "After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct." Matthew Hartman, Managing Director, EIG Veteran Equity GP, LLC (General Partner of EIG Veteran Equity Aggregator, L.P.)
  • "After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct." Nick Williams, Senior Vice President, EIG Asset Management, LLC (Managing Member of EIG Veteran Equity Aggregator, L.P.)

Industry Context

This filing is a routine disclosure of a change in beneficial ownership by a significant investor and does not provide broader industry context or trends. It reflects a specific investment decision by EIG Veteran Equity Aggregator, L.P. regarding its stake in USA Compression Partners, LP, a company operating in the natural gas compression services sector.

Stakeholder Impact

  • Shareholders: The reduction in stake by a significant institutional investor could lead to increased selling pressure or a negative perception, potentially impacting the share price. It also changes the composition of the major shareholder base.

Key Dates

DateDescription
2019-02-04Original Schedule 13D filed by EIG Veteran Equity Aggregator, L.P.
2021-02-01Amendment No. 1 to Schedule 13D filed.
2022-02-01Amendment No. 2 to Schedule 13D filed.
2022-05-02Amendment No. 3 to Schedule 13D filed.
2023-03-03Amendment No. 4 to Schedule 13D filed.
2023-10-31Amendment No. 5 to Schedule 13D filed.
2023-12-21Amendment No. 6 to Schedule 13D filed.
2024-01-26Amendment No. 7 to Schedule 13D filed.
2024-04-08Amendment No. 8 to Schedule 13D filed.
2024-06-18Amendment No. 9 to Schedule 13D filed.
2024-06-26Amendment No. 10 to Schedule 13D filed.
2025-05-01Date as of which 117,582,364 Common Units were outstanding, as reported in the Issuer's Form 10-Q.
2025-05-06Date Issuer's Quarterly Report on Form 10-Q was filed with the SEC.
2025-06-03Reporting Person elected to convert 84,132.81 Preferred Units into 4,204,223 Common Units.
2025-06-10Reporting Person effected an open market sale of 4,204,223 Conversion Units at $23.60 per unit. This is also the 'Date of Event Which Requires Filing of This Statement'.
2025-06-11Reporting Person ceased to have beneficial ownership of more than 5% of the Common Units.
2025-06-12Date of signing of Amendment No. 11 to Schedule 13D.

Keywords

USA Compression Partners, EIG Veteran Equity Aggregator, Schedule 13D/A, Beneficial Ownership, Common Units, Preferred Units, SEC Filing, Limited Partner Interests, Unit Conversion, Open Market Sale

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