KKR-related entities have completed a significant transaction involving the sale of shares in OneStream, Inc. (NYSE:OS), a prepackaged software services company. The entities sold a total of 2,553,700 Class A Common Stock shares at a price of $18.85 each, amounting to over $48.15 million.
The transaction was part of a series of buy and sell activities reported by various KKR entities, including KKR Dream Holdings LLC, KKR Dream Aggregator L.P., and KKR Americas Fund XII (Dream) L.P., among others. Each entity is interconnected through a complex web of partnerships and ownership structures, with KKR Associates Americas XII AIV L.P. and KKR Americas XII AIV GP LLC playing central roles as general partners for several of the reporting entities.
OneStream, Inc., based in Rochester, Michigan, specializes in providing enterprise software solutions. The company's stock, traded under the ticker symbol OS, has been the subject of these recent transactions by entities related to KKR, a global investment firm with a diverse range of portfolio companies.
The sales occurred on July 25, 2024, and were disclosed in a filing with the Securities and Exchange Commission on July 29, 2024. The reporting entities, which hold more than ten percent ownership in OneStream, Inc., engaged in both acquisitions and disposals of shares, with the disposals being the more significant financial activity in terms of dollar value.
The shares were sold at a discount from the secondary public offering price of $20.00, after accounting for an underwriting discount of $1.15 per share. This strategic move by the KKR entities reflects their ongoing investment management activities and portfolio adjustments.
Investors and market observers often scrutinize such transactions by major stakeholders for insights into the company's performance and the investors' confidence in its future prospects. However, the reporting entities have disclaimed beneficial ownership of the securities, except to the extent of their pecuniary interest therein.
The filing also included a series of derivative transactions related to Class D Common Stock and Common Units, which are convertible into Class A Common Stock, providing further complexity to the investment structures utilized by the entities involved.
The transactions underscore the active role that investment firms like KKR play in the capital markets, leveraging their positions to make calculated investment decisions. The recent sale of OneStream shares by KKR-related entities is just one example of the dynamic nature of equity ownership and the financial strategies employed by institutional investors.
InvestingPro Insights
As KKR-related entities navigate their investment strategies with OneStream, Inc., it's worth noting the company's current financial standing and market performance. According to InvestingPro data, OneStream, with a market capitalization of $6.45 billion, is trading at a high revenue valuation multiple, which indicates that the market has high expectations for the company's future growth. Despite not being profitable over the last twelve months, the company's revenue growth is quite robust at 39.93% for Q1 2023, showcasing a strong potential for future profitability.
Moreover, OneStream's stock has been performing well in the market, trading near its 52-week high with a price 97.0% of that peak, reflecting investor confidence. The company's gross profit margin stands at an impressive 69.79%, suggesting that OneStream is efficient in its operations, even though it currently operates with a moderate level of debt and does not pay dividends to shareholders.
For investors interested in a deeper analysis, there are additional InvestingPro Tips available that could provide further insights into OneStream's financial health and investment potential. With the use of coupon code PRONEWS24, readers can get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription at InvestingPro, where they can access these valuable tips and make more informed investment decisions.
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