ConnectM Provides Update on $1.60 per Share Buy-Out Offer

Rhea-AI Summary

ConnectM Technology Solutions has provided an update on the $1.60 per share buy-out offer initially proposed on March 31, 2025. The Buy-Out Group, consisting of three companies - SriSid, Arumilli, and Win-Light Global - has increased their collective ownership to approximately 16.1 million shares, representing 31.4% of ConnectM's outstanding shares as of April 28, 2025.

Individual ownership breakdown:

• SriSid: 7.55 million shares (14.8%)
• Arumilli: 5.07 million shares (9.9%)
• Win-Light Global: 3.48 million shares (6.8%)

The ConnectM Board of Directors continues to evaluate the non-binding proposal, with no guarantee of a definitive offer or transaction completion. The company maintains its commitment to acting in the best interests of all stockholders.

Positive

• Buy-Out Group has accumulated a significant 31.4% ownership stake (16.1M shares), showing strong investor confidence
• Potential buyout offer at $1.60 per share provides a clear exit opportunity for shareholders

Negative

• Low buyout offer price of $1.60 per share might undervalue the company
• Non-binding proposal creates uncertainty about deal completion
• No guarantee that definitive offer will be made or transaction completed

Insights

M&A Financial Analyst

Buy-Out Group increases stake to 31.4% following their $1.60/share acquisition offer, signaling continued interest while Board evaluates.

The investor consortium known as the Buy-Out Group has increased its collective ownership to approximately 16.1 million shares, representing 31.4% of ConnectM's outstanding shares. This significant stake building follows their March 31 non-binding proposal to acquire all remaining shares at $1.60 per share in cash.

The ownership is distributed among three entities: SriSid LLC (14.8%), Arumilli LLC (9.9%), and Win-Light Global Co. Ltd. (6.8%). This concentrated position gives the group substantial representation in ConnectM's shareholder structure after making their acquisition proposal public.

The continued accumulation of shares following their initial offer suggests sustained interest in the potential acquisition. However, as explicitly stated in the announcement, the ConnectM Board of Directors is still reviewing the proposal with no assurance that any definitive offer will be made or accepted, or that any transaction will be consummated.

For investors, this development confirms concrete buyout interest with a specified price point, though the ultimate outcome remains uncertain pending Board evaluation. The significant ownership position established by the Buy-Out Group creates a new dynamic in the company's shareholder composition that could influence the evaluation process going forward.

Buy-Out Group now owns approximately 16.1 million shares of ConnectM common stock, representing approximately 31.4% of the Company's outstanding shares

MARLBOROUGH, Mass., April 29, 2025 /PRNewswire/ -- ConnectM Technology Solutions, Inc. (Nasdaq: CNTM) ("ConnectM" or the "Company"), a high-growth technology company on the leading edge of the energy economy, today announced an update regarding the ownership positions of the investor group (the "Buy-Out Group") that submitted a non-binding proposal on March 31, 2025, to acquire all remaining outstanding shares of ConnectM at a cash price of $1.60 per share.

Since the Buy-Out Group's initial offer, its members — SriSid LLC, Arumilli LLC, and Win-Light Global Co. Ltd. — have each increased their individual holdings in ConnectM. Collectively, the Buy-Out Group now owns approximately 16,098,064 shares of ConnectM common stock, representing approximately 31.4% of the Company's outstanding shares as of April 28, 2025.

Individually:

• SriSid LLC currently owns approximately 7,553,664 shares (14.8% of outstanding shares),
• Arumilli LLC currently owns approximately 5,069,384 shares (9.9% of outstanding shares), and
• Win-Light Global Co. Ltd. currently owns approximately 3,475,016 shares (6.8% of outstanding shares).

As previously disclosed, the ConnectM Board of Directors continues to thoroughly review and evaluate the proposal. There can be no assurance that any definitive offer will be made or accepted, or that any transaction will be consummated. ConnectM remains committed to acting in the best interests of all stockholders.

About ConnectM Technology Solutions, Inc.

ConnectM is a constellation of companies powering next generation equipment, mobility and distributed energy—thus enabling a faster, smarter transition to a modern energy economy. The Company delivers an advanced, proprietary Energy Intelligence Network platform designed to empower residential and commercial service providers and original equipment manufacturers, to optimize energy efficiency, enhance operational performance, and support sustainable innovation. Leveraging technology, data, artificial intelligence, and behavioral economics, ConnectM aims to lower energy costs and reduce carbon emissions globally.

For more information, please visit: https://www.connectm.com/

Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). We have based these forward-looking statements on our current expectations and projections about future events. All statements, other than statements of present or historical fact included in this press release, regarding our future financial performance and our strategy, expansion plans, future operations, future operating results, estimated revenues, losses, projected costs, prospects, plans and objectives of management are forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as "may," "should," "could," "would," "expect," "plan," "anticipate," "intend," "believe," "estimate," "continue," "project" or the negative of such terms or other similar expressions. These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions about us that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. Except as otherwise required by applicable law, we disclaim any duty to update any forward-looking statements, all of which are expressly qualified by the statements in this section, to reflect events or circumstances after the date of this press release. We caution you that the forward-looking statements contained herein are subject to numerous risks and uncertainties, most of which are difficult to predict and many of which are beyond our control. In addition, we caution you that the forward-looking statements regarding the Company contained in this press release are subject to the risks and uncertainties described in the "Cautionary Note Regarding Forward-Looking Statements" section of the Current Report on Form 8-K filed with the Securities and Exchange Commission on July 18, 2024. Such filing identifies and addresses other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and ConnectM is under no obligation to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise.

Contact:
Investor Relations
Dave Gentry, CEO
RedChip Companies, Inc.
1-407-644-4256
CNTM@redchip.com 

 

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SOURCE ConnectM Technology Solutions, Inc.

FAQ

What is the buyout offer price for ConnectM (CNTM) stock?

The Buy-Out Group submitted a non-binding proposal on March 31, 2025, to acquire all remaining ConnectM (CNTM) shares at $1.60 per share in cash.

How many shares does the Buy-Out Group own of ConnectM (CNTM)?

As of April 28, 2025, the Buy-Out Group collectively owns approximately 16.1 million shares, representing 31.4% of ConnectM's outstanding shares.

Who are the members of the CNTM Buy-Out Group and their ownership?

The Buy-Out Group consists of SriSid (14.8%, ~7.55M shares), Arumilli (9.9%, ~5.07M shares), and Win-Light Global (6.8%, ~3.48M shares).

Has ConnectM's board approved the $1.60 per share buyout offer?

The ConnectM Board of Directors is still reviewing and evaluating the proposal. No definitive offer has been made or accepted, and there's no guarantee of transaction completion.

What percentage of CNTM shares remain available after the Buy-Out Group's position?

Approximately 68.6% of ConnectM shares remain available, as the Buy-Out Group owns 31.4% of the company's outstanding shares as of April 28, 2025.