Item 5 is hereby amended and restated as follows:
The information contained on the cover pages of this Schedule 13D and the information set forth or incorporated in Items 3, 4 and 6 is hereby incorporated by reference in its entirety into this Item 5.
(a) and (b)
All ownership percentages set forth in this Schedule 13D are calculated using a denominator of 131,301,626, the sum of (i) 101,301,842 shares of Class A Common Stock outstanding as of May 8, 2019, as reported in the Quarterly Report on Form 10-Q filed by the Issuer on May 8, 2019, (ii) 1,000,000 shares of Class A Common Stock that the Reporting Persons would receive in the event all of the Warrants beneficially owned by the Reporting Persons were exercised and no other outstanding Warrants are exercised and (iii) 28,999,784 shares of Class A Common Stock that would result in the event all of issued and outstanding shares of the Issuer’s Units beneficially owned by the Reporting Persons were exchanged for shares of Class A Common Stock at the current exchange rate of one share of Class A Common Stock per one Unit.
Hostess CDM Co-Invest
Hostess CDM Co-Invest directly holds 20,037,312 Units that it may exchange for, at the option of the Issuer, the number of shares of Class A Common Stock specified in that certain Exchange Agreement, dated November 4, 2016, among the Issuer, Hostess Holdings L.P., Mr. Metropoulos, Hostess CDM Co-Invest and CDM Class C (the “Exchange Agreement”) or the cash equivalent of such shares of Class A Common Stock, on the terms and conditions set forth therein. Pursuant to Rule 13d-3 under the Act, Hostess CDM Co-Invest is the beneficial owner of 20,037,312 shares of Class A Common Stock underlying such Units, representing approximately 15.3% of the issued and outstanding shares of Class A Common Stock, and shares the power to vote and dispose of such Class A Common Shares with its managing member, Mr. Metropoulos.
CDM Class C
CDM Class C directly holds 962,472 Units that it may exchange for, at the option of the Issuer, the number of shares of Class A Common Stock specified in the Exchange Agreement or the cash equivalent of such shares of Class A Common Stock, on the terms and conditions set forth therein. Pursuant to Rule 13d-3 under the Act, CDM Class C is the beneficial owner of 962,472 shares of Class A Common Stock underlying such Units, representing approximately 0.7% of the issued and outstanding shares of Class A Common Stock, and shares the power to vote and dispose of such Class A Common Shares with its managing member, Mr. Metropoulos.
CDM HB
On May 17, 2019, CDM HB disposed all its previously owned Units and thereby ceased being the beneficial owner of any Common Stock. As a result, CDM HB is no longer a member of the group described in this Schedule 13D.
Mr. Metropoulos
Mr. Metropoulos directly holds 458,939 shares of Class A Common Stock and has the sole power to vote and dispose of such shares.
Mr. Metropoulos also directly holds 2,000,000 Warrants entitling him to purchase one-half of one share of Class A Common Stock per warrant at $5.75 per half share. Pursuant to Rule 13d-3 under the Act, Mr. Metropoulos is the beneficial owner of 1,000,000 shares of Class A Common Stock underlying such Warrants and has the sole power to vote and dispose of such Class A Common Shares.
Collectively, Mr. Metropoulos is the direct beneficial owner of 1,458,939 shares of Class A Common Stock, representing approximately 1.1% of the issued and outstanding shares of Class A Common Stock.
Mr. Metropoulos, as the managing member of Hostess CDM Co-Invest has the ability to direct the management and the business of Hostess CDM Co-Invest, including the power to vote and dispose of securities held by Hostess CDM Co-Invest. Mr. Metropoulos may, therefore, be deemed to beneficially own 20,037,312 shares of Class A Common Stock, representing approximately 15.3% of the issued and outstanding shares of Class A Common Stock, directly held by Hostess CDM Co-Invest.
Mr. Metropoulos, as the managing member of CDM Class C has the ability to direct the management and the business of CDM Class C, including the power to vote and dispose of securities held by CDM Class C. Mr. Metropoulos may, therefore, be deemed to beneficially own 962,472 shares of Class A Common Stock, representing approximately 0.7% of the issued and outstanding shares of Class A Common Stock, directly held by CDM Class C.
In the aggregate, Mr. Metropoulos is the beneficial owner of 22,458,723 shares of Class A Common Stock, representing approximately 17.1% of the issued and outstanding shares of Class A Common Stock.
(c)
Between April 2, 2019 and April 4, 2019, Hostess CDM Co-Invest sold 1,225,400 shares of Class A Common Stock pursuant to a 10b5-1 trading plan at a weighted average price per share of $13.00 on April 2, 2019, $12.87 on April 3, 2019 and $12.85 on April 4, 2019. The shares were sold in multiple transactions at prices ranging from $12.75 to $13.15, inclusive. CDM HB undertakes to provide to the Issuer, any security holder of the Issuer, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within such range.
On May 17, 2019, CDM HB and Hostess CDM Co-Invest sold 8,000,000 shares of Class A Common Stock pursuant to an underwritten offering (the “Offering”), as described in the Issuer’s Rule 424(b)(4) final prospectus supplement (File No. 333-214603) filed with the Securities and Exchange Commission on May 16, 2019, and the underwriting agreement dated as of May 14, 2019 (the “Underwriting Agreement”), among the Issuer, CDM Co-Invest and CDM HB (the “Selling Shareholders”), and J.P. Morgan Securities LLC as the underwriter (the “Underwriter”).
Following the sale of the Class A Common Stock by Hostess CDM Co-Invest and CDM HB, Hostess CDM Co-Invest is the record holder of an aggregate of 20,037,312 shares of Class A Common Stock, which represents approximately 15.3% of the Issuer’s outstanding Class A Common Stock, and CDM HB no longer holds any shares of Class A Common Stock.
Other than these sales and the transactions described herein, there have been no other transactions in the securities of the Issuer effected by any Reporting Person within the last 60 days.
(d) To the best knowledge of the Reporting Persons, no person other than the Reporting Persons has the right to receive or the power to direct the receipt of dividends from, or the proceeds from the sale of, the securities beneficially owned by the Reporting Persons identified in this Item 5.
(e) On May 17, 2019, CDM HB disposed all its previously owned Units and thereby ceased being the beneficial owner of any Common Stock. As a result, CDM HB is no longer a member of the group described in this Schedule 13D.