BUZZ - SoundThinking shares surge 50% on privatization deal

September 29 - ** Shares of public safety technology company SoundThinking (SSTI.O) surged 50.7% on Tuesday, reaching a seven-week high of $8.25 and on track for a record one-day gain after the company announced an acquisition deal.

** SSTI, based in Fremont, California, said on Tuesday (link) that private equity firm Transom Capital Group will acquire the company for $8 in cash per share; this offer represents a 46% premium over the stock’s previous closing price.

** SSTI shareholders will also receive a contingent value right tied to the sales of ShotSpotter and SafePointe products, worth up to an additional $3 per share, potentially bringing the deal’s total value to $11 per share, or about $159 million.

** The deal is expected to close in the fourth quarter of 2026.

** As of Monday’s close, SSTI shares had fallen 32% year to date, after previously plunging 39% in 2025, leaving the company with a market value of about $72 million.

** Northland Capital Markets downgraded SSTI from “Outperform” to “Market Perform.”

** In a note to clients, Northland stated that the privatization deal “makes sense,” adding that it will give SSTI more time, flexibility, and resources to grow key business areas such as SafePointe and international versions of ShotSpotter, and to optimize operations.

** Los Angeles-based Transom manages $1.7 billion in assets. According to its website, the firm typically invests in mid-sized North American companies with annual revenues of up to $1 billion and adjusted EBITDA of up to $75 million (link).

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