SCHEDULE: Connect Midstream Boosts Summit Midstream Stake to 35.4%

Connect Midstream, along with affiliated entities, has increased its beneficial ownership in Summit Midstream Corp to 35.4% through recent open market purchases.

Summary

• Connect Midstream, LLC and its affiliated reporting persons (Tailwater Energy Fund III LP, Tailwater Capital LLC, Jason H. Downie, and Edward Herring) collectively beneficially own 6,644,627 shares of Summit Midstream Corp's Common Stock.
• This ownership represents 35.4% of the total Common Stock outstanding, calculated based on 18,766,331 shares (12,241,864 outstanding as of July 31, 2025, plus 6,524,467 convertible shares).
• The beneficial ownership comprises 6,524,467 shares of Common Stock issuable upon conversion of Common Units and Class B Shares, and 120,160 shares of Common Stock directly held by Connect Midstream.
• Connect Midstream made recent open market purchases, acquiring 72,759 shares on August 26, 2025, at an average price of $20.46 per share, and 47,401 shares on August 27, 2025, at an average price of $20.50 per share.
• The purchases were financed using working capital.

Sentiment

Score: 7

Explanation: The increased beneficial ownership by a significant shareholder group, including recent open market purchases, generally indicates confidence in the company's value and future prospects, which is a positive signal.

Positives

• The significant increase in beneficial ownership by Connect Midstream and its affiliates to 35.4% signals strong confidence from a major shareholder in Summit Midstream Corp's future prospects.
• Recent open market purchases by Connect Midstream at an average price of approximately $20.48 per share indicate a belief in the company's current valuation and potential for appreciation.

Future Outlook

NA

Industry Context

NA

Stakeholder Impact

• Shareholders: The increased concentration of ownership by Connect Midstream and its affiliates may lead to greater influence from this group on corporate decisions and potentially impact liquidity for other shareholders.
• Management: The significant stake held by the reporting group could result in increased engagement or influence on the company's strategic direction and operational decisions.

Key Dates

Recommendation

The increase in beneficial ownership by Connect Midstream and its affiliates to a significant 35.4% stake, coupled with recent open market purchases, signals strong confidence from a major shareholder. This could be viewed positively by the market, suggesting a belief in the company's long-term value. However, without additional operational or financial performance details, a 'hold' recommendation is prudent, acknowledging the positive signal while awaiting broader company updates.

Keywords

Summit Midstream, SMLP, Connect Midstream, Tailwater Energy, Schedule 13D, beneficial ownership, equity stake, midstream, energy