The in-kind distribution reduces the funds' direct common stock position but retains economic exposure via convertible preferred and warrants. Monitor for any subsequent conversion or exercise activity that could increase common stock overhang. The 1.0% stake is small and passive, so no immediate market impact is expected.
Price Chart
Executive Summary
FR Capital Holdings, L.P. filed an amended Schedule 13G reporting that its affiliated funds, FRCVI and FRCVIII-F, distributed all their Merlin, Inc. common stock in-kind to partners on September 16, 2026. Post-distribution, the remaining reported holdings consist solely of convertible preferred stock and warrants, representing a 1.0% beneficial ownership stake. This is a structural portfolio event, not a market sale, but it reduces the funds' direct common stock exposure.
Key Financial Metrics
Key Facts
- FR Capital Holdings, L.P. and its affiliated funds (FRCVI, FRCVIII-F) distributed all shares of Merlin common stock in-kind to partners on September 16, 2026.
- Post-distribution, FRCVI holds preferred stock convertible into 201,317 common shares and warrants for 195,566 common shares at $6.67 per share.
- Post-distribution, FRCVIII-F holds preferred stock convertible into 318,889 common shares and warrants for 309,782 common shares at $6.67 per share.
- Aggregate beneficial ownership is 1,025,554 common shares equivalent, or 1.0% of shares outstanding (based on 101,067,784 shares outstanding as of August 11, 2026).
- The distribution was for no consideration and is a pass-through to limited partners, not a market sale.
Financial Impact
No direct financial impact; the in-kind distribution removes 1,025,554 common shares from the funds' direct holdings but replaces them with convertible preferred and warrants, maintaining a 1.0% beneficial ownership stake.
Risk Factors
- No material risk identified; the filing reflects a routine portfolio restructuring with no change in beneficial ownership percentage.
Investment Themes
Documents Analyzed
This report is based on 3 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| SC 13G/A Filing (Primary) | 0001493152-26-043375 |
| Document: 0001493152-26-043375-index.html | 0001493152-26-043375 |
| Document: 0001493152-26-043375.txt | 0001493152-26-043375 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 22, 2026 3d ago | Press Release | $0.8439 | awaiting T+20 | — | $0.8728 (+3.42%) |
Oct 13, 2026 13d ago | SC 13G | $1.29 | awaiting T+20 | — | $0.8728 (−32.34%) |
Oct 5, 2026 20d ago | Press Release | $1.56 | awaiting T+20 | — | $0.8728 (−44.05%) |
Sep 18, 2026 5w ago | SC 13G/A | $1.86 $1.07 | ▼ −42.47% | ▼ −41.57% | $0.8728 (−53.08%) |
May 14, 2026 23w ago | 8-K | $7.06 $6.81 | ▼ −3.54% | ▼ −2.68% | $0.8728 (−87.64%) |
May 14, 2026 23w ago | Press Release | $7.06 $6.81 | ▲ +3.54% | ▲ +2.68% | $0.8728 (+87.64%) |
May 14, 2026 23w ago | EFFECT | $7.06 $6.81 | ▲ +3.54% | ▲ +2.68% | $0.8728 (+87.64%) |
May 6, 2026 24w ago | S-1 | $9.32 $7.27 | ▲ +22.00% | ▲ +24.78% | $0.8728 (+90.64%) |
Apr 29, 2026 25w ago | 8-K | $8.62 $8.00 | ▲ +7.19% | ▲ +12.65% | $0.8728 (+89.87%) |
Apr 29, 2026 25w ago | Press Release | $8.62 $8.00 | ▼ −7.19% | ▼ −12.65% | $0.8728 (−89.87%) |
US Market Status
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