Private companies own 21% of Thayer Ventures Acquisition Corporation II (NASDAQ:TVAI) shares but retail investors control 60% of the company
Thayer Ventures Acquisition Corporation II's significant retail investors ownership suggests that the key decisions are influenced by shareholders from the larger public
A total of 18 investors have a majority stake in the company with 40% ownership
Institutions own 12% of Thayer Ventures Acquisition Corporation II
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To get a sense of who is truly in control of Thayer Ventures Acquisition Corporation II (NASDAQ:TVAI), it is important to understand the ownership structure of the business. And the group that holds the biggest piece of the pie are retail investors with 60% ownership. Put another way, the group faces the maximum upside potential (or downside risk).
And private companies on the other hand have a 21% ownership in the company.
Let's delve deeper into each type of owner of Thayer Ventures Acquisition Corporation II, beginning with the chart below.
View our latest analysis for Thayer Ventures Acquisition Corporation II
Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.
As you can see, institutional investors have a fair amount of stake in Thayer Ventures Acquisition Corporation II. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see Thayer Ventures Acquisition Corporation II's historic earnings and revenue below, but keep in mind there's always more to the story.
Our data indicates that hedge funds own 6.4% of Thayer Ventures Acquisition Corporation II. That catches my attention because hedge funds sometimes try to influence management, or bring about changes that will create near term value for shareholders. Our data shows that Thayer Ventures Acquisition Holdings II LLC is the largest shareholder with 21% of shares outstanding. With 6.4% and 4.7% of the shares outstanding respectively, Linden Advisors LP and BMO Asset Management Corp. are the second and third largest shareholders.
Our studies suggest that the top 18 shareholders collectively control less than half of the company's shares, meaning that the company's shares are widely disseminated and there is no dominant shareholder.
While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. We're not picking up on any analyst coverage of the stock at the moment, so the company is unlikely to be widely held.
While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.
Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.
Our information suggests that Thayer Ventures Acquisition Corporation II insiders own under 1% of the company. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. It seems the board members have no more than US$1.3m worth of shares in the US$275m company. We generally like to see a board more invested. However it might be worth checking if those insiders have been buying.
The general public -- including retail investors -- own 60% of Thayer Ventures Acquisition Corporation II. This size of ownership gives investors from the general public some collective power. They can and probably do influence decisions on executive compensation, dividend policies and proposed business acquisitions.
It seems that Private Companies own 21%, of the Thayer Ventures Acquisition Corporation II stock. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.
I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. For instance, we've identified 3 warning signs for Thayer Ventures Acquisition Corporation II (2 don't sit too well with us) that you should be aware of.
If you would prefer check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, backed by strong financial data.
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