--- title: "The $1.9 Billion Williams Share Block Belongs to EnCap Flatrock's Momentum Sellers" description: "The 26.9 million shares Williams registered for resale hours after its earnings beat belong to the private equity sellers of Momentum Midstream, the $2.8 billion acquisition behind the gas-and-power growth trade. A capped six-month exit begins into a stock priced at 28 times earnings." publisher: "The Inference" section: "Power" published: 2026-11-03T18:06:34.214Z modified: 2026-11-03T18:06:34.214Z canonical: https://theinference.org/article/the-1-9-billion-williams-share-block-belongs-to-encap-flatrock-s-momentum-sellers language: en keywords: "Williams Companies, Private Equity, Natural Gas, Stock Moves, SEC Filings" --- # The $1.9 Billion Williams Share Block Belongs to EnCap Flatrock's Momentum Sellers > The 26.9 million shares Williams registered for resale hours after its earnings beat belong to the private equity sellers of Momentum Midstream, the $2.8 billion acquisition behind the gas-and-power growth trade. A capped six-month exit begins into a stock priced at 28 times earnings. The mystery block of Williams shares now has names. [The prospectus supplement, the SEC filing that lists who may resell registered stock](https://www.sec.gov/Archives/edgar/data/107263/000119312526443895/d121509d424b2.htm), shows the 26,874,496 [Williams Companies](https://theinference.org/markets/companies/williams-companies) shares registered for resale on November 2 belong to the sellers of Momentum Midstream, the Haynesville gas producer Williams bought for $2.816 billion in September [1][3]. The two top holders, Clearfork Midstream Holdings and EFM M6 Holdings, are both controlled by EnCap Flatrock Midstream Fund IV, a Texas private equity fund manager; 88 smaller holders hold the rest [1]. Williams receives nothing from the sales [1]. ![Natural gas drilling rig in the Haynesville Shale near Shreveport, Louisiana](https://storage.googleapis.com/theinference-public/img/e2be67900ac956ce.jpg) *A drilling rig in the Haynesville Shale near Shreveport, Louisiana. Momentum Midstream, the Haynesville gas producer whose sellers received the 26.9 million registered Williams shares, was bought for $2.816 billion in September. (Daniel Foster)* In October we wrote about the senator who sold up to $25 million of Williams stock while pushing to speed its pipelines ([that piece here](https://theinference.org/article/the-senator-who-sold-up-to-25-million-of-williams-companies-stock-now-wants-to-speed-its-pipelines)). What is new since is the identity of the big block: the Momentum sellers, now registered to exit. *Chart: **EnCap Flatrock-controlled vehicles hold 19.3 million of the 26.9 million registered shares** Bar chart of shares registered for resale by holder: EFM M6 Holdings 13.6 million, other holders 7.6 million, Clearfork Midstream 5.6 million* *Shares of Williams Companies (WMB) common stock registered for resale under the prospectus supplement filed November 2, 2026, by holder, as of September 3, 2026. EFM M6 Holdings and Clearfork Midstream are both controlled by EnCap Flatrock Midstream Fund IV. Sources: SEC Form 424B2 (1). [1]* ## The sellers are exiting the asset paying for the AI-power build The registration landed hours after Williams' [strongest quarter of the year](https://www.gurufocus.com/news/9163079/williams-companies-inc-exceeds-eps-estimates-with-056-in-q3-2026-revenue-reaches-3223-billion): net income of $699 million, up 8 percent, adjusted EBITDA of $2.039 billion, up 6 percent, and 2026 guidance of $8.3 billion to $8.5 billion tracking to the upper half, led by the Socrates data-center power project, which came online early [3]. The same quarter pushed debt-to-EBITDA to 3.80x, above the company's roughly 3.75x midpoint, with long-term debt at $31.7 billion and quarterly capital spending of $2.7 billion against $1.05 billion a year ago [3]. *Chart: **Williams' capital spending has more than doubled since mid-2024** Column chart of Williams Companies quarterly capital expenditures from the third quarter of 2024 through the second quarter of 2026, rising from about 0.73 billion dollars to 1.86 billion dollars* *Quarterly capital expenditures in billions of US dollars, from Williams Companies' SEC filings, through the quarter ended June 30, 2026. The company's September quarter pushed spending to $2.7 billion against $1.05 billion a year earlier. Source: Williams Companies quarterly filings (5). [5]* Williams pays for that buildout from midstream fees; the people who sold it the asset behind the buildout are now registered to sell the stock it paid them with, into a market paying 28.4 times trailing earnings [3][4]. The stock fell 4.25 percent to $71.19 that day; the block is worth about $1.9 billion there [4]. ## The exit is capped, so watch the daily volume The supply is throttled, not dumped. The locked-up holders, who received 25.6 million of the shares, may together sell no more than 537,496 shares a day until March 3, 2027, about 0.04 percent of the 1.25 billion shares outstanding, roughly one share in every 2,300 [1]. That cap is small enough to absorb and steady enough to measure. Watch daily volume against the 537,496-share limit, because a persistent run at it tells you how hard this block is landing, on top of $11.1 million of insider selling over the past year with no buying [1][4]. ## Takeaway The 26.9 million Williams shares registered for resale on November 2 belong to the EnCap Flatrock vehicles that sold Williams Momentum Midstream for $2.816 billion. Their exit is capped at about 537,000 shares a day until March 3, 2027, and begins into a stock at 28.4 times trailing earnings. ## Sources 1. [SEC EDGAR, Prospectus Supplement (Form 424B2), The Williams Companies, 2 November 2026](https://www.sec.gov/Archives/edgar/data/107263/000119312526443895/d121509d424b2.htm) 3. [GuruFocus, Williams Companies Inc Exceeds EPS Estimates with $0.56 in Q3 2026; Revenue Reaches $3.223 Billion, 2 November 2026](https://www.gurufocus.com/news/9163079/williams-companies-inc-exceeds-eps-estimates-with-056-in-q3-2026-revenue-reaches-3223-billion) 4. [GuruFocus, Williams Companies Inc (WMB) Stock Down 4.2% but Still Overvalued, 2 November 2026](https://www.gurufocus.com/news/9163461/williams-companies-inc-wmb-stock-down-42-but-still-overvalued-gf-score-82100) 5. [Williams Companies, quarterly figures from its SEC filings, retrieved 3 November 2026](https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0000107263) --- The $1.9 Billion Williams Share Block Belongs to EnCap Flatrock's Momentum Sellers — The Inference. Canonical: https://theinference.org/article/the-1-9-billion-williams-share-block-belongs-to-encap-flatrock-s-momentum-sellers