Cerberus Capital Management Updates Eos Energy Stake

TL;DR

Cerberus Capital Management just updated their Eos Energy stake. Watch this space.

AI Summary

Cerberus Capital Management II, L.P. has amended its Schedule 13D filing regarding Eos Energy Enterprises, Inc. as of November 4, 2024. The filing indicates a change in beneficial ownership, with Cerberus Capital Management II, L.P. now holding a significant stake in the company's common stock. This amendment reflects updated information on their holdings and intentions.

Why It Matters

This filing signals a potential shift in control or influence for Eos Energy Enterprises, Inc., as a major investment firm adjusts its position. Investors will monitor Cerberus's future actions for clues on the company's strategic direction.

Risk Assessment

Risk Level: medium — Changes in significant shareholder positions can indicate shifts in company strategy or potential future corporate actions, introducing uncertainty.

Key Players & Entities

• Cerberus Capital Management II, L.P. (company) — Filing party
• Eos Energy Enterprises, Inc. (company) — Subject company
• Alexander D. Benjamin (person) — Contact person at Cerberus

FAQ

Key Financial Figures

• $0.0001 — ame of Issuer) Common Stock, par value $0.0001 per share (Title of Class of Securitie
• $210.5 million — acility in an aggregate amount of up to $210.5 million (the "Delayed Draw Term Loan") to be ma
• $75 m — to be made in up to four installments ($75 million, which was funded on June 21, 202
• $30 m — ion, which was funded on June 21, 2024, $30 million, which was funded on August 29, 2
• $105 m — acility in an aggregate amount of up to $105 million, to be made available at the Lend
• $65 million — ilestone required to draw an additional $65 million on the Delayed Draw Term Loan (the "Sec
• $3,358,000 — ed Stock has an original issue price of $3,358,000 (the "B-3 Original Issue Price"). Each

Filing Documents

• form_sc13da-eos.htm (SC 13D/A) — 118KB
• 0001011438-24-000531.txt ( ) — 120KB

Source and Amount of Funds or Other Consideration

Item 3. Source and Amount of Funds or Other Consideration

is hereby amended and supplemented by the addition of the following

Item 3 is hereby amended and supplemented by the addition of the following: The information in Item 4 is incorporated herein by reference.

Purpose of Transaction

Item 4. Purpose of Transaction

is hereby amended and supplemented by the addition of the following

Item 4 is hereby amended and supplemented by the addition of the following: As previously disclosed, on June 21, 2024, the Issuer entered into a credit and guaranty agreement (the "Credit Agreement") by and among the Issuer, as borrower, the guarantors party thereto, the various lenders party thereto (the "Lenders"), and CCM Denali Debt Holdings, LP., as administrative agent and collateral agent, pursuant to which the Lenders have agreed to provide a secured multi-draw term loan facility in an aggregate amount of up to $210.5 million (the "Delayed Draw Term Loan") to be made in up to four installments ($75 million, which was funded on June 21, 2024, $30 million, which was funded on August 29, 2024, and the remainder upon two additional draws), and a revolving credit facility in an aggregate amount of up to $105 million, to be made available at the Lenders' sole discretion and only if the Delayed Draw Term Loan is fully funded, on terms and subject to conditions set forth in the Credit Agreement. Pursuant to the previously disclosed Securities Purchase Agreement, upon each draw under the Delayed Draw Term Loan, the Issuer will issue and sell to CCM Denali Equity in private placement transactions Warrants and/or Preferred Stock in amounts representing predetermined, fully diluted, percentages (an "Applicable Percentage") of Common Stock. Upon any failure to achieve a milestone, in addition to not being able to receive a draw on the Delayed Draw Term Loan unless waived by the Lenders, the Applicable Percentage will be subject to up to a 4.0% increase for all milestone events as to each of the remaining milestone measurement dates. On October 31, 2024, the Issuer and Cerberus Capital Management II mutually confirmed that the Issuer satisfied all four applicable performance objectives comprising the second milestone required to draw an additional $65 million on the Delayed Draw Term Loan (the "Second Milestone") related to the Issuer's automated production line, materi

Interest in Securities of the Issuer

Item 5. Interest in Securities of the Issuer

is hereby amended and restated as follows

Item 5 is hereby amended and restated as follows: The information in Item 4 is incorporated herein by reference. (a) and (b) Items 7 through 11 and 13 of each of the cover pages of this Schedule 13D are incorporated herein by reference. Such information is based on 217,904,747 shares of Common Stock outstanding as of October 31, 2024, based on information received from the Issuer. The securities of the Issuer reported herein are directly held and beneficially owned by CCM Denali Equity. CCM Denali Equity GP, as the general partner of CCM Denali Equity, may be deemed to beneficially own the securities of the Issuer held by CCM Denali Equity. Cerberus Capital Management II, as the sole member of CCM Denali Equity GP, may be deemed to beneficially own the securities of the Issuer held by CCM Denali Equity. (c) The information in Items 3 and 4 is incorporated herein by reference. Except as disclosed in this Schedule 13D, as amended, there have been no transactions by the Reporting Persons or the Scheduled Persons in the securities of the Issuer during the past sixty days. (d) The disclosure regarding the relationship between the Reporting Persons in Item 2(c) of this Schedule 13D is incorporated herein by reference. (e) Not applicable.

Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the Issuer

Item 6. Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the Issuer

is hereby amended and supplemented by the addition of the following

Item 6 is hereby amended and supplemented by the addition of the following: The disclosure in Item 4 is incorporated herein by reference. Signature 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. November 4, 2024 CERBERUS CAPITAL MANAGEMENT II, L.P. By: /s/ Alexander D. Benjamin Name: Alexander D. Benjamin Title: Senior Managing Director and Chief Legal Officer CCM DENALI EQUITY HOLDINGS, LP By: CCM Denali Equity Holdings GP, LLC, its general partner By: /s/ Alexander D. Benjamin Name: Alexander D. Benjamin Title: Manager CCM DENALI EQUITY HOLDINGS GP, LLC By: /s/ Alexander D. Benjamin Name: Alexander D. Benjamin Title: Manager

View Full Filing

View this SC 13D/A filing on SEC EDGAR