# EDGAR Filing Document

**Accession Number:** 0001767042
**File Stem:** 0000000000-23-001041
**Filing Date:** 2023-2
**Character Count:** 12044
**Document Hash:** dbf9811830d4e8e2782ff760b49901ff
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000000000-23-001041.hdr.sgml**: 20230727

**ACCESSION NUMBER**: 0000000000-23-001041

**CONFORMED SUBMISSION TYPE**: UPLOAD

**PUBLIC DOCUMENT COUNT**: 2

**FILED AS OF DATE**: 20230201

**FILED FOR**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Kodiak Gas Services, Inc.
- **CENTRAL INDEX KEY:** 0001767042
- **STANDARD INDUSTRIAL CLASSIFICATION:** NATURAL GAS TRANSMISSION [4922]
- **IRS NUMBER:** 833013440
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** UPLOAD

**BUSINESS ADDRESS:**
- **STREET 1:** 15320 HIGHWAY 105 W, SUITE 210
- **CITY:** MONTGOMERY
- **STATE:** TX
- **ZIP:** 77356
- **BUSINESS PHONE:** 936-539-3300

**MAIL ADDRESS:**
- **STREET 1:** 15320 HIGHWAY 105 W, SUITE 210
- **CITY:** MONTGOMERY
- **STATE:** TX
- **ZIP:** 77356

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Frontier TopCo, Inc.
- **DATE OF NAME CHANGE:** 20190206
**PUBLIC REFERENCE ACCESSION NUMBER**: 0000950123-22-012645

## Text-Extract

```

United States securities and exchange commission logo

                             February 1, 2023

       Robert McKee
       Chief Executive Officer
       Kodiak Gas Services, Inc.
       15320 Highway 105 W, Suite 210
       Montgomery, TX 77356

                                                        Re: Kodiak Gas
Services, Inc.
                                                            Amendment No. 1 to
                                                            Draft Registration
Statement on Form S-1
                                                            Submitted January
20, 2023
                                                            CIK No. 0001767042

       Dear Robert McKee:

             We have reviewed your amended draft registration statement and
have the following
       comments. In some of our comments, we may ask you to provide us with
information so we
       may better understand your disclosure.

              Please respond to this letter by providing the requested
information and either submitting
       an amended draft registration statement or publicly filing your
registration statement on
       EDGAR. If you do not believe our comments apply to your facts and
circumstances or do not
       believe an amendment is appropriate, please tell us why in your
response.

             After reviewing the information you provide in response to these
comments and your
       amended draft registration statement or filed registration statement, we
may have additional
       comments.

       Amendment No. 1 to Draft Registration Statement on Form S-1 Submitted on
January 20, 2023

       Dividend Policy, page 52

   1.                                                   We note you added
disclosure to indicate that you intend to pay dividends on your
                                                        common stock and your
ability to do so depends on the receipt of cash dividends from
                                                        your operating
subsidiaries. For all periods presented, you disclosed Cash Available for
                                                        Dividends because you
view it as a useful measure in assessing your ability to pay regular
                                                        cash dividends to your
stockholders.
 Robert McKee
Kodiak Gas Services, Inc.
February 1, 2023
Page 2
         Please expand your disclosures under this heading to include the
following additional
         information:

                Clarify if you determined the percentages or range of
percentages of available cash
              that i) your operating subsidiaries will pay you and ii) you will
pay your common
              shareholders.
                The number of common shares that will participate in the
dividends and the
              corresponding per share amounts.
                Disclose your estimates of future dividends to your common
shareholders for the
              immediately succeeding 12 month period on both a quarterly and
annualized basis,
              also quantifying the underlying key assumptions, including
volumes and prices
              corresponding to the various operating metrics presented on page
17, and adhering to
              Item 10(b) of Regulation S-K.
Financial Statements
Note 8. Stockholders' Equity, page F-21

2.       We note your disclosure that Kodiak Holdings issued incentive awards
to certain
         employees of Kodiak Gas Services, LLC known as the Class B incentive
units (   Class B
         Units   ). These Class B Units constitute    profits interests." In
the event of employment
         termination, vested Class B Units are automatically converted to Class
C units. Each
         Class C Unit shall have the right to receive distribution up to the
amount equal to the fair
         market value of such vested Class B Unit. Pursuant to the terms set
forth in
         paragraphs 2a and 2b of Exhibit 10.5, 25% of the Class B Units are
deemed Time Vested
         Units and 75% of the Class B units are deemed Performance Vested
Units. Pursuant to
         paragraph 1 of Exhibit 10.5, Time Vested and Performance Vested Units
are designated
         as Catch-Up Units and assigned a monetary value. Please address the
following:

                Revise your disclosure to clarify how fair value accrues to the
holder of the Class B
              Units including the impact of designation as Catch-Up Units. For
example, clarify if
              the holder is entitled to 1) convert to common shares, 2) future
profits based on the
              achievement of certain performance hurdles, or 3) some other
calculation of fair
              market value.

             Tell us the significance of all redemption obligations including
whether the right to
           receive distribution up to the amount equal to the fair market value
of vested Class B
           Units allows for cash settlement and if so, how you considered
classification as a
           liability pursuant to FASB ASC 815-40.
FirstName LastNameRobert McKee
Comapany   NameKodiak
           Cite             Gas Services,
                the authoritative        Inc.on which you relied regarding your
accounting for
                                  guidance
February 1,these
            2023incentive
                   Page 2 awards.
FirstName LastName
 Robert McKee
FirstName
Kodiak GasLastNameRobert
           Services, Inc. McKee
Comapany1,NameKodiak
February   2023         Gas Services, Inc.
February
Page 3 1, 2023 Page 3
FirstName LastName
        You may contact Mark Wojciechowski, Staff Accountant, at (202) 551-3759
or John
Cannarella, Staff Accountant, at (202) 551-3337 if you have questions regarding
comments on
the financial statements and related matters. Please contact Cheryl Brown,
Staff Attorney, at
(202) 551-3905 or Irene Barberena-Meissner, Staff Attorney, at (202) 551-6548
with any other
questions.

                                                           Sincerely,

                                                           Division of
Corporation Finance
                                                           Office of Energy &
Transportation
cc:      Matt Pacey

```

### Attached PDF Documents

**Attachment 1:** `filename1`

![img-0.jpeg](img-0.jpeg)

CORPORATION FINANCE

# UNITED STATES  
SECURITIES AND EXCHANGE COMMISSION  
WASHINGTON, D.C. 20549

February 1, 2023

Robert McKee  
Chief Executive Officer  
Kodiak Gas Services, Inc.  
15320 Highway 105 W, Suite 210  
Montgomery, TX 77356

**Re: Kodiak Gas Services, Inc.  
Amendment No. 1 to  
Draft Registration Statement on Form S-1  
Submitted January 20, 2023  
CIK No. 0001767042**

Dear Robert McKee:

We have reviewed your amended draft registration statement and have the following comments. In some of our comments, we may ask you to provide us with information so we may better understand your disclosure.

Please respond to this letter by providing the requested information and either submitting an amended draft registration statement or publicly filing your registration statement on EDGAR. If you do not believe our comments apply to your facts and circumstances or do not believe an amendment is appropriate, please tell us why in your response.

After reviewing the information you provide in response to these comments and your amended draft registration statement or filed registration statement, we may have additional comments.

Amendment No. 1 to Draft Registration Statement on Form S-1 Submitted on January 20, 2023

Dividend Policy, page 52

1. We note you added disclosure to indicate that you intend to pay dividends on your common stock and your ability to do so depends on the receipt of cash dividends from your operating subsidiaries. For all periods presented, you disclosed Cash Available for Dividends because you view it as a useful measure in assessing your ability to pay regular cash dividends to your stockholders.

Robert McKee
Kodiak Gas Services, Inc.
February 1, 2023
Page 2

Please expand your disclosures under this heading to include the following additional information:

- Clarify if you determined the percentages or range of percentages of available cash that i) your operating subsidiaries will pay you and ii) you will pay your common shareholders.
- The number of common shares that will participate in the dividends and the corresponding per share amounts.
- Disclose your estimates of future dividends to your common shareholders for the immediately succeeding 12 month period on both a quarterly and annualized basis, also quantifying the underlying key assumptions, including volumes and prices corresponding to the various operating metrics presented on page 17, and adhering to Item 10(b) of Regulation S-K.

# Financial Statements

# Note 8. Stockholders' Equity, page F-21

2. We note your disclosure that Kodiak Holdings issued incentive awards to certain employees of Kodiak Gas Services, LLC known as the Class B incentive units ("Class B Units"). These Class B Units constitute "profits interests." In the event of employment termination, vested Class B Units are automatically converted to Class C units. Each Class C Unit shall have the right to receive distribution up to the amount equal to the *fair market value* of such vested Class B Unit. Pursuant to the terms set forth in paragraphs 2a and 2b of Exhibit 10.5, 25% of the Class B Units are deemed Time Vested Units and 75% of the Class B units are deemed Performance Vested Units. Pursuant to paragraph 1 of Exhibit 10.5, Time Vested and Performance Vested Units are designated as Catch-Up Units and assigned a monetary value. Please address the following:
- Revise your disclosure to clarify how fair value accrues to the holder of the Class B Units including the impact of designation as Catch-Up Units. For example, clarify if the holder is entitled to 1) convert to common shares, 2) future profits based on the achievement of certain performance hurdles, or 3) some other calculation of fair market value.
- Tell us the significance of all redemption obligations including whether the right to receive distribution up to the amount equal to the *fair market value* of vested Class B Units allows for cash settlement and if so, how you considered classification as a liability pursuant to FASB ASC 815-40.
- Cite the authoritative guidance on which you relied regarding your accounting for these incentive awards.

Robert McKee
Kodiak Gas Services, Inc.
February 1, 2023
Page 3

You may contact Mark Wojciechowski, Staff Accountant, at (202) 551-3759 or John Cannarella, Staff Accountant, at (202) 551-3337 if you have questions regarding comments on the financial statements and related matters. Please contact Cheryl Brown, Staff Attorney, at (202) 551-3905 or Irene Barberena-Meissner, Staff Attorney, at (202) 551-6548 with any other questions.

Sincerely,

Division of Corporation Finance
Office of Energy & Transportation

cc: Matt Pacey