SoundThinking surges 50% on take-private deal

** Shares of public safety tech firm SoundThinking SSTI.O surge 50.7% to a seven-week high of $8.25 and set for a record gain on Tues following M&A news

** Fremont, California-based SSTI said on Tues private equity firm Transom Capital Group will pay $8/sh in cash to buy the co; bid represents 46% premium to stock's last close

** SSTI shareholders to also receive contingent value rights tied to sales of its ShotSpotter and SafePointe products worth up to $3/sh for total potential deal consideration of $11/sh, or roughly $159 mln

** Deal expected to close in Q4 2026

** Through Mon close, SSTI stock had fallen 32% YTD following 39% plunge in 2025, giving co about $72 mln market cap

** Northland Capital Markets downgrades SSTI to 'market perform' from 'outperform'

** Go-private transaction is "logical", Northland says in note to clients, adding it will provide SSTI with more time, flexibility and resources to build out key areas, such as SafePointe and international ShotSpotter, and to streamline operations

** Los Angeles-headquartered Transom has $1.7 bln in assets under management. It typically invests in middle-market North American firms with up to $1 bln in rev and up to $75 mln of adj EBITDA (earnings before interest, taxes, depreciation and amortization), according to its website