NN, Inc. negotiated a transaction to reduce $124 million in preferred stock, enhancing its financial stability.
Quiver AI Summary
NN, Inc. has announced a significant transaction related to its $124 million in Series D preferred stock held by Morgan Stanley Tactical Value. The company utilized funds from a recently completed $75 million PIPE transaction to pay off $70 million of this preferred stock, while also exchanging approximately $19 million of preferred stock for common stock through an agreement with Morgan Stanley. The remaining $35 million of preferred stock has been refinanced at a reduced interest rate of 10% for one year, with a $5 million discount offer if redeemed by the end of 2026. CEO Harold Bevis highlighted the strong investor demand for NN's stock, underscoring the company’s improved balance sheet and its potential for future value creation. A conference call is scheduled for August 6, 2026, to discuss the company's results.
Potential Positives
- NN has successfully paid off $70 million of preferred stock, materially deleveraging its balance sheet and improving its financial position.
- The recent $75 million PIPE transaction was oversubscribed, indicating strong investor demand and confidence in NN's business performance.
- Through the refinancing agreement with Morgan Stanley Tactical Value, NN has secured a 10% interest rate for its remaining preferred stock, which is a reduction that benefits future cash flow.
- This transaction positions NN favorably to refinance its secured Term Loan debt at a lower cost of capital, suggesting potential for further financial improvements.
Potential Negatives
- The company is still reliant on external financing methods such as PIPE transactions, indicating potential ongoing liquidity challenges.
- The refinancing of preferred stock at a reduced interest rate of 10% for one year could signal a lack of access to better financing options and may reflect higher risk for investors.
- The overall transaction involves a significant restructuring of debt, which can create uncertainty regarding the company's future financial stability and operational performance.
FAQ
What is the recent transaction involving NN, Inc. and Morgan Stanley?
NN, Inc. has negotiated a deal regarding $124 million in Series D preferred stock, involving cash payments and stock exchanges.
How much preferred stock did NN, Inc. pay off?
NN, Inc. paid off $70 million of preferred stock using cash from a PIPE transaction and exchanged an additional $19 million via common stock.
What refinancing terms did NN, Inc. secure?
NN refinanced $35 million of preferred stock at a reduced interest rate of 10% for one year, with a discount available for early redemption.
What does CEO Harold Bevis say about the PIPE transaction?
Harold Bevis noted strong investor demand for the PIPE transaction, highlighting liquidity for high-quality manufacturing companies during volatile markets.
When will NN, Inc. discuss its quarterly results?
NN, Inc. will discuss its quarterly results in a conference call on August 6, 2026, at 9 a.m. ET accessible via their website.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$NNBR Insider Trading Activity
$NNBR insiders have traded $NNBR stock on the open market 28 times in the past 6 months. Of those trades, 0 have been purchases and 28 have been sales.
Here’s a breakdown of recent trading of $NNBR stock by insiders over the last 6 months:
- PARTNERS MANAGEMENT, LLC CORRE has made 0 purchases and 18 sales selling 1,636,916 shares for an estimated $3,929,987.
- JOHN FREDERICK BARRETT has made 0 purchases and 9 sales selling 1,636,916 shares for an estimated $3,929,987.
- RAYMOND T. WHITE sold 18,782 shares for an estimated $45,298
To track insider transactions, check out Quiver Quantitative's insider trading dashboard. You can access data on insider stock transactions through the Quiver Quantitative API insider transaction endpoint.
$NNBR Revenue
$NNBR had revenues of $118.5M in Q1 2026. This is an increase of 12.08% from the same period in the prior year.
You can track NNBR financials on Quiver Quantitative's NNBR stock page.
You can access data on NNBR stock through the Quiver Quantitative API.
$NNBR Hedge Fund Activity
We have seen 32 institutional investors add shares of $NNBR stock to their portfolio, and 22 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- NOMURA HOLDINGS INC removed 1,060,000 shares (-35.3%) from their portfolio in Q1 2026, for an estimated $1,537,000
- WALLEYE CAPITAL LLC added 546,652 shares (+inf%) to their portfolio in Q2 2026, for an estimated $1,962,480
- HUNTLEIGH ADVISORS, INC. added 440,100 shares (+inf%) to their portfolio in Q2 2026, for an estimated $1,579,959
- FIRST MANHATTAN CO. LLC. added 333,000 shares (+11.1%) to their portfolio in Q1 2026, for an estimated $482,850
- DIMENSIONAL FUND ADVISORS LP removed 305,128 shares (-52.0%) from their portfolio in Q1 2026, for an estimated $442,435
- JOHNSON FINANCIAL GROUP, LLC added 270,494 shares (+inf%) to their portfolio in Q1 2026, for an estimated $392,216
- RENAISSANCE TECHNOLOGIES LLC added 181,540 shares (+49.4%) to their portfolio in Q1 2026, for an estimated $263,233
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard. You can access data on hedge funds moves and 13F filings through the Quiver Quantitative API 13F endpoint.
Full Release
CHARLOTTE, N.C., Aug. 05, 2026 (GLOBE NEWSWIRE) -- NN, Inc. (NASDAQ: NNBR) (“NN” or the “Company”), a global diversified industrial company that engineers and manufactures high-precision components and assemblies, today announced a negotiated transaction regarding the Company’s $124 million of Series D preferred stock security held by investment funds managed by Morgan Stanley Tactical Value.
Overview of 3-Part Transaction:
-
NN has paid off $70 million
of preferred stock by using $70 million of cash raised through a sale of common stock via a PIPE transaction during July 2026 (previously announced)
-
NN has exchanged an additional approximate $19 million
of preferred stock by using $19 million of common stock via an exchange agreement with Morgan Stanley Tactical Value
-
NN has refinanced the remaining $35 million
of preferred stock at a reduced interest rate of 10% for one year, as well as a new $5 million discount available if the Company redeems the remaining preferred stock by December 31, 2026
Harold Bevis, President and CEO of NN, Inc. commented, “NN’s business performance drove strong investor demand for its recent $75 million PIPE transaction. This underscored the depth of liquidity available for high-quality manufacturing companies that are focused on the right markets with compelling products and an experienced global team, even amid periods of market volatility. The PIPE transaction was oversubscribed, further demonstrating institutional demand for NN, Inc. stock.”
Bevis continued, “Furthermore, as part of the refinancing, long-standing preferred stockholder Morgan Stanley Tactical Value agreed to convert a portion of its preferred equity into NN common stock, helping facilitate a negotiated transaction between the parties. NN has paid off the majority of its preferred stock and materially deleveraged. This transaction also strengthens NN’s balance sheet and sets up a favorable outlook for refinancing our secured Term Loan debt at a lower cost of capital. This is a performance-led advancement for NN’s shareholders, and sets the stage for significant further value creation.”
Advisors
Craig-Hallum Capital Group served as financial advisor to NN, Inc.; Cooley LLP served as legal counsel to NN, Inc.; Faegre Drinker Biddle & Reath LLP served as legal counsel to Craig-Hallum; and Gibson, Dunn & Crutcher LLP served as legal counsel to Morgan Stanley Tactical Value.
Conference Call
NN will discuss its results during its quarterly investor conference call on August 6, 2026, at 9 a.m. ET. The call and supplemental presentation may be accessed via NN's website, www.nninc.com. The conference call can also be accessed by dialing (833) 461-5787 (domestic) or (585) 542-9983 (international) and entering Conference ID number 186058461. For those who are unavailable to listen to the live broadcast, a replay will be available shortly after the call.
About NN, Inc .
NN, Inc., a global diversified industrial company, combines advanced engineering and production capabilities with in-depth materials science expertise to design and manufacture high-precision components and assemblies for a variety of markets on a global basis. Headquartered in Charlotte, North Carolina, NN has facilities in North America, South America, Europe and China. For more information about the company and its products, please visit www.nninc.com .
Forward Looking Statements
This press release may contain forward-looking statements regarding our business, operations, and financial performance. Such statements are based on current expectations and assumptions that are subject to a number of risks and uncertainties. Actual results could differ materially. Please refer to our most recently filed Form 10-K and our Form 10-Q for the period following that Form 10-K, including the risk factors described therein. We undertake no obligation to update any forward-looking statement, except as required by law. Given these risks and uncertainties, investors are cautioned not to place undue reliance on such forward-looking statements.
Investor & Media Contacts:
NN, Inc.
Joseph Caminiti
[email protected]
312-445-2870
