Hayward Holdings, Inc. (NYSE:HAYW), a key player in the refrigeration and service industry machinery sector, disclosed a significant shift in its shareholder structure. In a recent SEC filing, the company reported that MSD Aqua Partners, LLC, an affiliate of MSD Partners, L.P., has distributed its entire stake in Hayward Holdings to its partners and members.
MSD, which has been a shareholder of Hayward Holdings since 2017, held a substantial portion of the company's shares before its initial public offering in 2021. As of August 1, 2024, MSD's holdings amounted to approximately 30% of the common stock outstanding, with 65,003,866 shares.
On Monday, September 11, 2024, MSD completed the distribution of these shares as part of the winding down of its investment fund. The shares were distributed on a pro-rata basis to its partners and members without consideration. Following the distribution, entities affiliated with MSD have retained around 3% of the company's common stock.
Hayward Holdings has clarified that the information provided in the SEC filing should not be considered "filed" for regulatory purposes, nor is it to be deemed incorporated by reference into any future filings under securities laws.
This news is based on the latest 8-K filing by Hayward Holdings with the Securities and Exchange Commission.
InvestingPro Insights
Hayward Holdings, Inc. (NYSE:HAYW) has recently seen a significant change in its shareholder structure, which could impact investor sentiment and stock performance. According to real-time data from InvestingPro, Hayward Holdings boasts a market capitalization of $2.94 billion and a gross profit margin of 49.43% for the last twelve months as of Q2 2024. This impressive margin underscores the company's ability to effectively manage its cost of goods sold and could be a positive signal for investors assessing the company's financial health.
InvestingPro Tips indicate that Hayward Holdings is trading at a high earnings multiple, with a P/E ratio of 32.57, suggesting that investors may expect higher future earnings growth. However, the company's PEG ratio of 1.86 points to a high P/E ratio relative to near-term earnings growth, which might raise concerns about the stock's current valuation.
On the liquidity front, Hayward Holdings' liquid assets surpass its short-term obligations, which may provide some reassurance to investors about the company's ability to meet its short-term liabilities. Additionally, analysts predict the company will be profitable this year, and it has been profitable over the last twelve months, factors that typically contribute to investor confidence.
For investors seeking more comprehensive analysis and additional InvestingPro Tips, there are currently 6 more tips available for Hayward Holdings at https://www.investing.com/pro/HAYW. These insights could prove invaluable for those looking to make informed investment decisions regarding Hayward Holdings in light of its changing shareholder landscape.
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