WM Technology founders withdraw $1.70 per share buyout proposal

IRVINE, California - WM Technology, Inc. (NASDAQ:MAPS) announced that its founders have withdrawn their proposal to purchase the company’s outstanding shares, according to a statement based on a press release. The stock, currently trading at $0.88, has declined 13% in the past week and 42% over six months, according to InvestingPro data.

The special committee of WM Technology’s board of directors confirmed it received a letter dated June 23, 2025, from CEO and Chairman Douglas Francis and co-founder Justin Hartfield withdrawing their non-binding proposal from December 17, 2024, which had offered to buy all outstanding common stock not already owned by them for $1.70 per share. The company, with a market capitalization of $149 million, appears undervalued according to InvestingPro’s Fair Value analysis.

In their letter, Francis and Hartfield cited "certain external factors" for the withdrawal but indicated they would continue to evaluate a transaction and might submit an alternative proposal in the future.

The special committee stated it remains committed to acting in the best interests of the company and all stockholders. It has retained Evercore Group L.L.C. as its independent financial advisor and Allen Overy Shearman Sterling US LLP as its independent legal counsel.

WM Technology, founded in 2008, operates Weedmaps, a cannabis marketplace for consumers, and provides eCommerce and compliance software solutions for cannabis businesses in U.S. state-legal markets.

The special committee noted it does not intend to comment further on potential transactions unless it deems additional disclosure appropriate or required. There is no assurance that the founders will submit a subsequent proposal or that any transaction will be approved or completed.

In other recent news, WM Technology Inc. reported its Q1 2025 earnings, revealing an earnings per share (EPS) of $0.02, which fell short of the forecasted $0.04. The company’s revenue for the quarter was $44.61 million, slightly below the expected $44.65 million, yet it marked a 1% increase year-over-year. Despite these misses, the company maintained financial stability with no outstanding debt and an ending cash balance of $53.3 million. Additionally, WM Technology announced the appointment of Baker Tilly as its new independent registered public accounting firm following a merger with its previous auditor, Moss Adams LLP. Moss Adams had issued an unqualified opinion on the company’s financial statements but noted material weaknesses in internal controls. There were no disagreements between WM Technology and Moss Adams regarding accounting principles or practices. The company also projected Q2 2025 revenue of $45 million and a non-GAAP adjusted EBITDA of $8 million, reflecting its strategic focus on data infrastructure and AI capabilities. CEO Doug Francis emphasized the company’s commitment to long-term growth and industry leadership amid ongoing regulatory challenges in the cannabis sector.

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