WM Technology Co-Founders Withdraw Acquisition Proposal

WM Technology co-founders Doug Francis and Justin Hartfield withdraw their acquisition proposal for the company. The Special Committee of the Board of Directors confirms the withdrawal and states that the co-founders may consider submitting an alternative proposal in the future. The committee remains committed to acting in the best interests of all stockholders.

In a significant development, WM Technology co-founders Doug Francis and Justin Hartfield have withdrawn their non-binding proposal to acquire all outstanding shares of the company. The withdrawal was confirmed by the Special Committee of the Board of Directors on June 23, 2025. The proposal, initially submitted on December 17, 2024, was to purchase all of the outstanding common stock of WM Technology at $1.70 per share [2].

The Special Committee, which has retained Evercore Group L.L.C. as its financial advisor and Allen Overy Shearman Sterling US LLP as its legal advisor, stated that the co-founders may consider submitting an alternative proposal in the future. The committee remains committed to acting in the best interests of all stockholders and will continue to evaluate any potential transactions [1].

WM Technology, founded in 2008 and headquartered in Irvine, California, operates Weedmaps, a prominent cannabis marketplace. The company provides eCommerce and compliance software solutions for cannabis businesses in U.S. state-legal markets, advocating for full U.S. legalization and industry-wide social equity [2].

The withdrawal of the acquisition proposal comes amidst a period of growth and regulatory challenges for the cannabis industry. WM Technology's stock performance has been marked by solid financial performance with strong cash flow and gross margins, though it faces regulatory hurdles and increased expenses [1].

The current market cap of WM Technology is $143.4 million, with an average trading volume of 715,774 shares. The technical sentiment signal for the stock is a strong sell, indicating bearish trends in the market [1].

Investors and financial professionals should closely monitor the developments surrounding WM Technology, as the withdrawal of the acquisition proposal and potential future submissions from the co-founders may impact the company's stock price and strategic direction. The Special Committee's commitment to acting in the best interests of all stockholders underscores the importance of transparency and fairness in the process.

References:
[1] https://www.tipranks.com/news/company-announcements/wm-technology-co-founders-withdraw-acquisition-proposal
[2] https://www.morningstar.com/news/business-wire/20250625103996/the-special-committee-of-the-board-of-directors-of-wm-technology-updates-stockholders-on-the-status-of-non-binding-proposal-from-co-founders-regarding-potential-take-private