Key points
- Grace & Mercy Foundation, a 10% owner of Gloo Holdings (GLOO), bought $3.00 million more of the stock on July 9, 2026 (923,076 shares at $3.25), a Form 4 disclosed on July 13. That brings its total position to 3,423,076 shares, about 18.6% of Gloo's Class A shares outstanding.
- Grace & Mercy Foundation is the charitable foundation of Bill Hwang, the Archegos Capital founder sentenced in November 2024 to 18 years in prison and ordered to pay more than $9 billion in restitution for securities fraud, wire fraud, and market manipulation.
- The purchase landed in the same public offering, priced July 8 at $3.25 a share, where Gloo's own CEO and executive chair Pat Gelsinger separately committed $6 million, a deal AIStockWire covered this week.
- Gloo builds software for churches and ministries. Hwang is currently incarcerated; the Form 4 disclosing this purchase was signed by the foundation's treasurer, not by Hwang personally.
Gloo Holdings (GLOO) builds software for churches. This week, an SEC filing showed one of its largest shareholders is a foundation founded by a man a federal judge just sentenced to 18 years in prison for one of the biggest fraud cases in Wall Street history.
Grace & Mercy Foundation, Inc. disclosed on July 13 that it bought another $3.00 million of Gloo stock on July 9, 923,076 shares at $3.25 each. The filing lists the foundation as a 10% owner, with sole voting and dispositive power over its position. It did not report any other trades in the prior 60 days, which means this add-on purchase sits on top of a stake the foundation already held going into the deal. Its total position after the purchase is 3,423,076 shares, which works out to about 18.6% of Gloo's Class A shares outstanding, based on the 18,405,352 total Class A shares Gloo itself disclosed in its July 9, 2026 prospectus.
Who founded this foundation
Grace & Mercy Foundation is not a random philanthropic name. It is the private charitable foundation founded by Bill Hwang, who also founded the family office Archegos Capital Management. Archegos collapsed in March 2021 when its concentrated, heavily leveraged stock bets unwound in days, triggering roughly $30 billion in losses and forcing writedowns at Credit Suisse, Nomura, and other banks. A Manhattan jury convicted Hwang in July 2024 on 10 of 11 counts, including securities fraud, wire fraud, conspiracy, and racketeering. In November 2024 he was sentenced to 18 years in prison. Prosecutors had sought a $12.35 billion forfeiture; the final order required Hwang to pay more than $9 billion in restitution to victims of the fraud.
Hwang built Grace & Mercy into a major Christian philanthropic vehicle over the prior two decades, funding organizations including Focus on the Family, the Museum of the Bible, and several large churches. Reporting and at least one lawsuit have separately raised questions about the foundation's own conduct. A 2022 lawsuit from a former Archegos employee alleges that Hwang and other executives referred to the foundation internally as a safe haven and used foundation jobs to keep employees quiet about what was happening at Archegos. The foundation also employed Patrick Halligan, Archegos's chief financial officer, who transitioned from unpaid foundation treasurer to a paid role reported at $465,106 in 2021, rising to $615,670 the next year. Halligan was convicted alongside Hwang in 2024 on conspiracy, securities fraud, and wire fraud charges.
The same week as the insider buy, but not the same group
Gloo priced a public offering of 7 million Class A shares at $3.25 on July 8, 2026, raising roughly $22.75 million before fees. Ahead of that pricing, Gloo disclosed that CEO Scott Beck, executive chair Pat Gelsinger (the former Intel and VMware CEO), and other board members had committed at least $6 million to buy into the offering at that same price. Grace & Mercy Foundation was not named as part of that disclosed group. Its $3 million purchase landed the following day, at the same $3.25 price, in the same offering window, but as a separate transaction from the officially disclosed insider commitment.
Why the stake itself is worth watching
None of this means Gloo did anything wrong. Public offerings are open to whoever buys in at the offering price, and there is no indication Gloo solicited this specific investor or benefits improperly from who is behind the money. But an 18.6% stake concentrated in one holder, held by the foundation of a man now under an active nine-figure-plus restitution order, is worth watching for reasons that have nothing to do with Gloo's own conduct: whether that position could ever become a target in ongoing forfeiture or restitution proceedings, and what a forced sale of a stake that size would do to a stock that trades around $3. We found no evidence that authorities have moved against the foundation's assets specifically. It is a real, open question, not a confirmed risk.
What to watch
Whether Grace & Mercy keeps adding to the position, whether Hwang's ongoing restitution proceedings ever touch foundation assets, and whether Gloo's leadership comments on the concentration at all. None of that has happened yet. Curious how a filing like this actually works? There is a plain explainer on reading these disclosures right here, and every fresh insider move across our watchlist lives on the insider buying tracker.
Sources
- StockTitan, Gloo Holdings files prospectus to sell 7.0M Class A shares at $3.25
- Businesswire, Gloo announces pricing of public offering of Class A common stock
- NBC News, Archegos' Bill Hwang sentenced to 18 years in prison for massive U.S. fraud
- Christianity Today, Wall Street's most famous evangelical sentenced in unprecedented fraud case
- Inside Philanthropy, Fraudster Bill Hwang's foundation hired co-defendant, paid enormous salaries
- SEC EDGAR, Form 4, Grace & Mercy Foundation, Inc. re: Gloo Holdings, Inc., filed July 13, 2026
- SEC EDGAR, Schedule 13D/A, Grace & Mercy Foundation, Inc. re: Gloo Holdings, Inc., filed January 12, 2026
- U.S. Department of Justice (SDNY), Founder and head of Archegos Capital Management Bill Hwang sentenced to 18 years in prison
This is general market commentary and opinion, not investment advice. We found no evidence that Grace & Mercy Foundation's Gloo stake has been targeted in any forfeiture or restitution proceeding as of publication; that section of this piece is framed as an open question, not a confirmed fact. Always do your own research and consider speaking with a licensed financial professional before making any investment decision.
