ConnectM Technology Solutions, Inc. (CNTM) has approved a reverse stock split of its common shares, with a range of 1‑for‑5 to 1‑for‑50, as part of a strategy to prepare for an application to uplist to a U.S. national securities exchange.
The board’s decision will be presented to shareholders at a special meeting scheduled for January 15, 2026, and a proxy statement has already been filed with the SEC. Shareholder approval is required before the split can be implemented, and the broader ratio range gives the company flexibility to adjust the split to meet listing requirements.
ConnectM’s financial picture underscores the need for the split. Revenue has grown 25.2% annually, reaching $8.99 million in Q1 2025 and $8.51 million in Q2 2025, up from $5.37 million and $5.01 million a year earlier. However, net losses have widened, with a $7.02 million loss in Q1 2025 versus $2.61 million a year earlier, and a $3.54 million loss in Q2 2025 versus $2.21 million a year earlier. The company’s trailing‑twelve‑month revenue of $32.5 million is accompanied by a $19.5 million net loss, and its market capitalization sits around $65.6 million.
CEO Bhaskar Panigrahi said the reverse split “is intended to support the Company’s previously announced strategy and impending application to uplist to a U.S. national securities exchange.” The statement signals management’s focus on meeting the higher listing standards and attracting institutional investors who often require a minimum share price.
The reverse split is part of a broader turnaround plan that includes a partnership with ThinkEquity LLC, hired in December 2025 to advise on the uplisting process, and a history of moving from the OTC Expert Market to OTCQB after a Nasdaq delisting in May 2025. Strengthening the balance sheet and improving the capital‑market profile are critical steps for a company that has been unprofitable for five years, with losses increasing at an average of 47.7% per year.
ConnectM’s operations are divided into four segments: an owned service network, transportation, logistics, and managed solutions. While revenue growth is driven by demand in the transportation and logistics segments, the company continues to face margin pressure from rising operating costs and the need to invest in electrification and decarbonization initiatives.
No immediate market reaction has been reported following the announcement, and the company’s next key milestone will be the shareholder vote on January 15, 2026, which will determine whether the reverse split and uplisting strategy move forward.
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