Owl Creek Asset Management Switches to 13D From 13G on Pyxus International, Reports 15.7% Stake

Owl Creek Asset Management, L.P. reported beneficial ownership of 3,865,355 shares of Pyxus International, Inc., or 15.7% of the common stock, in a Schedule 13D filed Nov. 12 with the US Securities and Exchange Commission.

The filing says the shares are held by funds managed by Owl Creek, which on Nov. 5 signed a Transaction Support Agreement with Pyxus as holders of its term loans, notes and common stock and as members of an ad hoc group of creditors and equity holders. The agreement provides for exchanges of existing debt, including for common stock at $3.25 a share, and a private offering of up to $85,000,000 of common stock at $2.50 a share.

Under a related backstop purchase agreement, the Owl Creek funds' aggregate commitments are $14,750,507.50, or approximately 18.4% of the aggregate commitments of $80,000,000, according to the filing.

Owl Creek and its holders "previously reported their beneficial ownership of the Common Stock on Schedule 13G, as most recently amended by Amendment No. 4 thereto filed with the Securities and Exchange Commission ... on September 3, 2024," the filing says. It is made jointly with Jeffrey A. Altman, managing member of the general partner of Owl Creek.

The filing says that by virtue of the support agreement, the reporting persons and parties tied to Glendon Capital Management, L.P. and Intermarket Corporation may be deemed a group owning 12,879,829 shares, or approximately 52.3% of the stock. Owl Creek and Altman disclaim beneficial ownership of the other parties' shares.