KGS · Kodiak Gas Services, Inc.

Kodiak Gas Services executed a significant follow-on equity offering, issuing 12,147,887 shares of its $0.01 par value common stock through a well-coordinated underwriting syndicate led by Goldman Sachs & Co. LLC and J.P. Morgan Securities LLC. The transaction closed rapidly, with the underwriting agreement signed May 13, 2026, option fully exercised the next day, and settlement on May 15, 2026. At a public price of $71.00 per share against an underwriter purchase price of $68.87, the offering implies approximately $2.13 per share in underwriting discount. Total gross proceeds approximate $863 million before expenses. The company explicitly plans to deploy net proceeds for general corporate purposes, prioritizing repayment of borrowings under its asset-based lending facility while preserving flexibility for growth capital expenditures in power generation equipment. This dual-purpose use of proceeds signals deleveraging alongside strategic expansion capacity. The offering utilized an automatic shelf registration on Form S-3 (File No. 333-295847), with Kirkland & Ellis LLP providing a clean legal opinion dated May 15 confirming the shares' validity. Multiple lock-up agreements from directors and executives further underscore governance alignment. For investors, this capital raise meaningfully bolsters the balance sheet while positioning Kodiak to pursue equipment-driven growth in its gas services operations.