Reddit Posts
I am afraid to stop contributing towards my investments to build 6 month emergency fund because of my portfolio manager
WSB and Stocks won't let me post this but here is my DD on $OPI - JPOW to the MOON
AWS Can't Compete in Cloud so Now Is Openly Attacking Microsoft
Private company I invested in looking to go public through a reverse takeover (RTO)
Mentions
They have up to 4 days to announce the RSS ratio, so Wednesday latest. But the logical thing to do is announce Qumulus RTO vote date immediately after, and would be silly to do that on Wednesday. So. I think we get RSS ratio results today or Monday after hours, with RTO proxy statement by Tuesday latest.
I should have known. So the expectation is RSS announcement comes sometime tonight and the RTO from Qumulis is Monday. I assume if no news by Monday morning, this will likely tank?
So what’s the play here? Buying calls and selling options after they announce the RTO and or buying a boatload of shares and hope after the RTO it is turned into an extremely profitable business and cash in? All seems like speculation, but your information is pretty on point and has me feeling a bit tempted to jump into this.
Yes you're right, and I should have been more clear with my language - the RSS vote was yesterday, it hasn't actually come into effect yet. Yes, the 350 mil share sale was to the financier but I was still making the point that if they were on the open market we would know about it. As for the ratio, yes there is a range in place but anything more than 1:10 or 1:15 max then the SONM will likely destroy all remaining SONM shareholder value and would then not be able to justify shooting down the $3.60/share offer from Orbic earlier in the summer. The ratio needs to be high enough to make Qumulus look IPO ready while justifying rejecting that offer. My guess is we will land somewhere between 1:5 and 1:10. Yes common stock is going up for PIPE investors/enabling financing, that doesn't mean the share pool will be bigger than the 350 million. And yes, RTO news will follow the news on the meeting. I expect we will get that news tonight after hours then RTO news on Monday before market opens.
He likes that the CEO has implemented RTO (great for employee morale, I'm sure!) and posts random "bullish" tweets all day. Oh and the CEO said they're going to cancel a bunch of their SaaS contracts and build out the tools in house....
12 mil free float. 500mil financing agreement. 350mil share sale was filed, but to the financier not on the open market, at market price minus 3.5%. The RSS hasn’t happened. It was voted on yesterday. Special meeting for stockholders to do a 1:2 to 1:30 RSS and 10x the common stock. From 100mil to 1bil. This took me 5 minutes. Maybe the possible RTO news comes out, but the shareholder meeting press release will be first.
I expect an announcement on the 20th so that the RSS news (which we will likely get AH today) will be overshadowed/forgotten by the RTO news (via the proxy statement). Regarding that comment 27 days ago, I'll copy-paste what I said to someone else on another sub: "If you read that comment carefully, I said 't*he timing here is razor-thin, and i would expect choppy waters for the stock price during this time*.' Since I made that comment, bridge financing via Chardan has been confirmed. The stock price has stayed the same/moved sideways. The time lag between filing the RSS vote and the actual RSS (today) has elapsed, so the risk of a sell off before the RTO is now no longer, as Qumulus will likely be announced on Monday. Finally, since making that comment, Qumulus AI announced 500 million in funding this week, they have appointed a new CEO who did brilliant at Applied Digital and Mike Mulica continues to like and share Qumulus AI content. As Seth Klarman says, value investing is about being able to change your view as the thesis/story changes. I've been consistent with looking at things again in a fresh way in the face of new information each time."
So buy SONM now and sell Qumulus at $7-$10 after RTO, if they supercede your expectations on what do you hold?
Their debt is tiny, and what's left of it will be wiped clean from the asset sale to Social Mobile. Again, this is/almost a clean shell, which it needs to be for the RTO. Go and read my post.
I’ve been following this since your post a month or so again. When do we think the announcement about the intended target is coming now that the RTO occurred. Monday?
Okay, so the play isn’t necessarily in Qumulus, but on the news of the RTO and the run up following that and up to the RTO. I don’t think you answered my question about the risk of a sell off (in shares of Qumulus) once the RTO is finished though. Are you anticipating a run up after the RTO announcement and just selling right before the RTO or intending to hold through after that too?
Okay, so the play isn’t necessarily in Qumulus, but on the news of the RTO and the run up following that and up to the RTO. I don’t think you answered my question about the risk of a sell off (in shares of Qumulus) once the RTO is finished though. Are you anticipating a run up after the RTO announcement and just selling right before the RTO or intending to hold through after that too?
SONM have to announce the RTO target via proxy statement. When they file that statement, the SEC has 10 days to respond. If SEC has no comments, SONM then need to file a definitive statement stating the exact day of the RTO vote and must give 20 days' notice. That means there will be a 30-day lag between SONM announcing the RTO target (which the market is currently asleep to) and the RTO actually happening. So to answer your question, there will be a 30-day run up to "IPO" prices. You can either get in now, or you can get in once the market has already piled in and pay a premium. You decide.
So the point of this (if anything) is to basically get in at “IPO” prices then? What’s the risk of a sell off if the thesis is true and the RTO goes off without a hitch? Why buy SONM now as opposed to shares of Qumulus when the RTO is actually finished?
Looking at oklo's jobs page, almost every open position is remote. [https://job-boards.greenhouse.io/oklo](https://job-boards.greenhouse.io/oklo) My company employs about 200 people. Our HQ has 6 desks, because nobody actually travels to the HQ location to work. So a picture of a tiny HQ doesn't tell me anything in 2025. Especially in silicon valley, where RTO has mostly collapsed. We've all been working from home for 5 years now, and the local commuter rail agencies have the dwindling ridership numbers to prove it.
I'm in this for months now but it's mind boggling to me that price is supressed so much, even now. No info about asset sale or RTO before RSS meeting means that we can expect max pain from it. I can't grasp how it may be beneficial to anyone involved from SONM side of the deal. 1:10 will be the best case scenario. If Monday after RSS there will be no significant developement this can be painfull to watch and would require nice mental gimnastics to stay in line with the bigger Pictures.
Still holding. RSS vote is on Thursday. I then expect RTO news soon after - presumably Monday 20th October.
Any update on what’s going on or a potential timeline of when we expect things to happen? It seems like after the Chardan financing, there’s more breathing room for the RTO to happen.
CXAI, SONM, WWR, DVLT, NUAI CXAI - workplace AI, and has a strong partnership with Google. Solid financials and exceeded EPS expectations for the last three quarters. Expecting the same for Q3. “The company achieved its largest ARR renewal with a Fortune 50 client and expanded its strategic partnership with Google Cloud for Agentic AI technologies.” - https://www.stocktitan.net/news/CXAI/cx-app-inc- On Oct 10, Wolverine Asset Mgmt purchased over 1m+ shares of CXAI, effectively making them the biggest institutional holder — bigger than Vanguard! Very bullish! https://whalewisdom.com/filing/wolverine-asset-management-llc-sc-13ga-2025-10-10-cxai SONM - Read this SONM update from this OP. SONM has signed a LOI for reverse take over (RTO) with an unnamed full stack AI factory provider, and the theory is that they’re QumulusAI. QAI also secured $500m in funding recently. This is an early bet, but very convincing- https://www.reddit.com/r/pennystocks/s/ui06oaPIpQ
CXAI, SONM, WWR, DVLT, NUAI CXAI - workplace AI, and has a strong partnership with Google. Solid financials and exceeded EPS expectations for the last three quarters. Expecting the same for Q3. “The company achieved its largest ARR renewal with a Fortune 50 client and expanded its strategic partnership with Google Cloud for Agentic AI technologies.” - https://www.stocktitan.net/news/CXAI/cx-app-inc- On Oct 10, Wolverine Asset Mgmt purchased over 1m+ shares, effectively making them the biggest institutional holder! Very bullish! SONM - Read this SONM update from this OP. SONM has signed a LOI for reverse take over (RTO) with an unnamed full stack AI factory provider, and the theory is that they’re QumulusAI. QAI also secured $500m in funding recently. This is an early bet, but very convincing- https://www.reddit.com/r/pennystocks/s/ui06oaPIpQ
CXAI, SONM, WWR, DVLT, NUAI CXAI - workplace AI, and has a strong partnership with Google. Solid financials and exceeded EPS expectations for the last three quarters. Expecting the same for Q3. “The company achieved its largest ARR renewal with a Fortune 50 client and expanded its strategic partnership with Google Cloud for Agentic AI technologies.” - https://www.stocktitan.net/news/CXAI/cx-app-inc- SONM - Read this SONM update from this OP. SONM has signed a LOI for reverse take over (RTO) with an unnamed full stack AI factory provider, and the theory is that they’re QumulusAI. QAI also secured $500m in funding recently. This is an early bet, but very convincing- https://www.reddit.com/r/pennystocks/s/ui06oaPIpQ
Looks new, dated yesterday. Maybe they’re preparing for the RTO and anticipating that people will rush in to buy this.
CXAI, SONM, WWR, DVLT, NUAI CXAI - workplace AI, and has a strong partnership with Google. Solid financials and exceeded EPS expectations for the last three quarters. Expecting the same for Q3. “The company achieved its largest ARR renewal with a Fortune 50 client and expanded its strategic partnership with Google Cloud for Agentic AI technologies.” - https://www.stocktitan.net/news/CXAI/cx-app-inc- SONM - Read this SONM update from this OP. SONM has signed a LOI for reverse take over (RTO) with an unnamed full stack AI factory provider, and the theory is that they’re QumulusAI. QAI also secured $500m in funding recently. This is an early bet, but very convincing- https://www.reddit.com/r/pennystocks/s/ui06oaPIpQ
CXAI, SONM, WWR, DVLT, NUAI CXAI - workplace AI, and has a strong partnership with Google. Solid financials and exceeded EPS expectations for the last three quarters. Expecting the same for Q3. “The company achieved its largest ARR renewal with a Fortune 50 client and expanded its strategic partnership with Google Cloud for Agentic AI technologies.” - https://www.stocktitan.net/news/CXAI/cx-app-inc- SONM - Read this SONM update from this OP. SONM has signed a LOI for reverse take over (RTO) with an unnamed full stack AI factory provider, and the theory is that they’re QumulusAI. QAI also secured $500m in funding recently. This is an early bet, but very convincing- https://www.reddit.com/r/pennystocks/s/ui06oaPIpQ
Hahaha, thanks for the recognition! I’m just spreading the good vibes and want everyone to get in early and win, especially if they’re still under the radar. Check out SONM as well. That’s my next bet. Read this SONM update from this OP. SONM has signed a LOI for reverse take over (RTO) with an unnamed full stack AI factory provider, and the theory is that they’re QumulusAI. QAI also secured $500m in funding recently. This is an early bet, but very convincing- https://www.reddit.com/r/pennystocks/s/ui06oaPIpQ
Qumulus AI just got [500 million in financing](https://www.newswire.com/news/qumulusai-secures-500m-non-recourse-financing-facility-through-usd-ai-to) Regarding price movement, zoom out. It's been going sideways for a month now. I wouldn't pay much attention to short term movements, the market is completely asleep to this merger. The RTO is definitely happening. The question is how much of the upside will be wiped out by the RSS (if at all).
Why would that matter? It’s still fundamentally dilutive. If they sell pre RTO (to say double shares outstanding, which would be about enough to pay down the debt) and then complete the RTO at the same stated 17.5m valuation, then our $0.7 shares are now worth $0.5 in the new $300m company. For us to break even we would need a bounce to a $500m valuation. The hope is that the $300m is not a real number but a deal number, and Qumulus is really worth $5b
I’ve been following this for a while and generally buy into the thesis. What I’m struggling with is understanding the risk–reward balance. If this goes ahead, I’m not sure what the real upside potential looks like. A) What’s the expected valuation range for the new company - somewhere between $300M and $1B? Im not sure how to understand current NAV vs % in acquiring company. B) The filing mentioned the percentage of the new company SONM would own (around 5%, if I remember correctly), but what about existing shareholder equity - could that be diluted or wiped out through a bad RTO share split? C) Given the recent institutional buy-ins, are we (retail shareholders) aligned with them? In other words, if things go south, they’d take a hit too, right? Im a couple of edibles deep, so my brain is struggling to understand what the upside looks like? Is it to current NAV price (which is multi bagger) or is it bigger eg x% of $1b company?
Almost every company has badge readers. What innovations could they add to RTO solutions?
CLIR and CXAI CXAI is a workplace AI company and they offer solutions for companies mandating RTO. They’re hosting the San Francisco Tech week today (Oct 7), along with Google Cloud Executives!
S-1 specifically mentions the anticipated RTO currently in process. IMO this is an amazing asymmetric bet
So from what I understand SONM should file the RTO proxy any day before the 16th most likely today AH or Friday AH?
The RTO will be baked into the price by the time the vote happens. As we saw before, there was no reaction whatsoever to the RSS preliminary filings. Im choosing to see the forest for the trees. The company that is performing this RTO has $500M in GPUs secured to expand operations significantly and already fully financed to boot. Potential speed bumps along the way are fine with me.
You know I've been following this closely since the first day you posted and I agree with you on almost everything. Where we diverse is on the risk of the RSS. They have yet to file proxy and definitive statements on the RTO. After they file the proxy statement on the RTO, the SEC then has 10 days to comment. Assuming no comments, SONM can then file the definitive statement, for which NASDAQ requires 20 days' notice. So if they filed today, the earliest vote on an RTO would be 5 November. That would mean a lag of 20 days (16 October to 5 November) where the market can sell off/react badly to the RSS news, effectively nuking current shareholders. What is more realistic to happen is for SONM to file the proxy statement right after the RSS meeting on 16 October. That would put the earliest possible RTO vote to 15-16 November. On the flipside, the market could also react positively. They could see the vote as a guarantee that the RTO is going to happen. The nuance is whether enough of the market believes the RTO is real and imminent. The fact the SP hasn't reacted to shareholders approving whatever RSS ratio the board (effectively green-lighting the RTO) tells me the market is sleeping at the wheel, which worries me that the market will short the hell out of this post 16 October and pre-merger.
SONM is basically a dead phone company. They sold off the rugged phone business to Social Mobile for $20M. What’s left is actually more interesting than the phones. They’ve got the Nasdaq listing, some cash from the sale, and a clean shell. IPOs can take forever, but an RTO can happen quite quickly. That is the value of SONM. So to answer your question, yes it is good for both companies or to put it more accurately, their shareholders. SONM have no viable business left, and Qumulus want to go public to raise cash and scale quickly. This isn't about "landing contracts together" because SONM's team/leadership will become irrelevant post-merger. They've already parachuted in George thangadurai onto the SONM board a few months ago who worked at IBM and has some AI experience to help the transition. To answer your question regarding certainty, there are too many coincidences. We know that Qumulus tried to go public via another RTO earlier this year and the valuation (300 million) was the same as what the SONM board are stating this RTO to be. We also know that the RTO is with a company in Qumulus' industry. Mike Mulica, who is on the SONM board, has been liking and sharing posts by the former Qumulus CEO (now VP of Capital Markets as of this month), for a while saying "watch this space'. The company providing the bridge financing to SONM is the same company that was brokering Qumulus' previously failed RTO. Here's a [post I wrote up](https://www.reddit.com/r/smallstreetbets/comments/1nfufrf/the_ugly_duckling_ai_play_sonm_and_a_potential/) with some additional DD going back a month ago.
So I’m going to need some help on this one because this whole RTO thing is over my head. If you choose to not answer, I understand you have better things to do with your time. 1) We want to buy SONM because QumulusAI might be interested in an RTO with them. How certain is this? And is Q a great company in this field? As you said in your other thread, Q is pretty tight lipped. So I just want to make sure SONM isn’t chaining itself to a deadweight. 2) https://ir.sonimtech.com/news-events/press-releases/detail/265/sonim-technologies-provides-update-on-letter-of-intent-for With the RTO, would our SONM shares be converted into a new, publicly traded Q/SONM merger share? We are just hoping on a fair conversion after the price gets pumped up based on the RTO being confirmed? 3) Is this merger good for both companies? Do you think they’ll integrate well? Would they be able to land contracts together that they couldn’t get separately? Just trying to understand why they’d want to merge instead of just having a partnership. 4) if the RTO doesn’t happen, would SONM still be worth holding long term? Would they need to have an RTO happen to survive or to stay viable? If you answer any of these, thank you. The main hang up I have is why either company wants to do an RTO at all, if it’s necessary for their survival, and if they actually would work well together unlike a Kraft-Heinz merger (different thing, I know, but closest example I can think of).
500M in funding for a 12M company. Could mean existing holders get 0'd pre-RTO. Or it could mean the expected post-RTO market cap is 10x the funding. This is r/lotteryticket (I mean r/pennystocks). Never risk more than you are willing to lose, and 10x every 15 tries haha
ASNS - recently received a major order from major carrier in Southern Europe, a major city in Germany, and a leading Texas telecommunications carrier. CLIR - recently received an order from a major petrochemical customer for its process burner testing services, and expects to deliver the results to the customer by the fourth quarter of 2025. Additionally, they received the initial engineering order from an integrated petroleum producer as the first phase of a process heater retrofit for a total of 36 ClearSign Core™ burners to be installed in their U.S. Gulf Coast refinery. CXAI - named a Representative Vendor in Gartner's 2025 Market Guide for Workplace Experience Applications. Organizations requiring return to office (RTO) mandate will use this type of application. Reported solid Q2 2025 results.
ASNS - recently received a major order from major carrier in Southern Europe. CLIR - recently received an order from a major petrochemical customer for its process burner testing services, and expects to deliver the results to the customer by the fourth quarter of 2025. CXAI - named a Representative Vendor in Gartner's 2025 Market Guide for Workplace Experience Applications. Organizations requiring return to office (RTO) mandate will use this type of application. Reported solid Q2 2025 results.
ASNS - recently received a major order from major carrier in Southern Europe. CLIR - recently received an order from a major petrochemical customer for its process burner testing services, and expects to deliver the results to the customer by the fourth quarter of 2025. CXAI - named a Representative Vendor in Gartner's 2025 Market Guide for Workplace Experience Applications. Organizations requiring return to office (RTO) mandate will use this type of application. Reported solid Q2 2025 results.
100%. Also, they can currently only issue 2M shares to Chardan prior to shareholder vote allowing them to issue more. Chardan was the SAME agent QumulusAI used for their attempted RTO with VinceRx in March.
I’ve only added since my original post, I haven’t sold any during the timeframe either. It’s either gap financing or the vehicle that is going to be used for the RTO. I’m hoping for the former as that means we will get news before October 16. Chardan is the SAME agent used by QumulusAI when they tried to RTO with VinceRx. This is highly encouraging.
It was the 8k filing that basically said SONM will get 500m that will facilitate the RTO which is done by Chardan Capital, the same company that facilitated the previous QUMULUS RTO process that fell through - this is the last piece of the puzzle that confirms that the target of the RTO is indeed QUMULUS AI now we just need to wait and see what will be the RSS ratio but either way this is good news
Word Bummer about the RTO, but at least you get a few days at home Shit’s crazy though right “War ravaged” gtfo
Nice. I'm a few blocks from 205, which comes in handy since I have to go into Portland 3 days a week. Fuck RTO.
Yes, we're aware. If you look at my comments from last week I said I had noticed a restructuring of Qumulus on LinkedIn - former CEO became VP of Capital Markets, while a board advisor became CTO. So it was clear for about a week a new CEO was coming. This kind of restructuring tends to happen when companies go or are about to go public. Former IBM VP of strategy is now CMO also. I think this play still has huge potential/upside, my only concern is the stock split ratio and the lag between the RSS vote and the RTO vote. In other words, this stock may still have some way to go down before it finally rips.
Yeah, I saw this come out after hours just a few hours after I made my last comment in this thread. Basically confirmed everything I said about timelines. We still need a proxy statement and definitive statement on vote for RTO. There is a possibility that could come out tonight after hours. I was proven right to cut my position - 25 days to the RSS vote is only going to cause market uncertainty, which is exactly what happened. I'm looking for a re-entry point, but buying and holding now is a bit too risky for my liking without a date for the RTO and no messaging on extension of bridge financing. I still think this deal happens, but the risk of a stock sell off in the interim remains considerable. I also think you're getting confused on the poison pill. The poison pill was a separate corporate action already executed and disclosed in earlier filings (the private placement at $0.75/share). That was to block a takeover by Orbic. It has nothing to do with the reverse stock split.
My conclusions remain the same and I think the market reaction has proven that. We need a proxy statement and definitive statement regarding the RTO, only then do I think we might see some kind of reversal. I do intend on buying back in at some point, but there is too much time for this to get dragged down before the board vote.
Anyone buying more at this discount 😂 From all the research I’ve been able to do - it looks like they won’t announce who the RTO partner is until post RS - they l’ll need to work out the share structure for existing shareholders and the ones being on-boarded. Just hoping this pans out but still looks super promising to me! Am I missing anything 😂
SONM is doing 10x the normal volume we will soon see the RTO
All stars in the sky align towards a nearby RTO announcement especially after todays order books showing big chunk orders being made
I saw, but there is nothing about RTO. RSS info tends to not be a good news.
Bingo, and that is exactly where most companies have been investing rather than H1b. My company has just built a massive building in India and all new tech and R&D roles are required to be hired in India. Now with new RTO rules, they are replacing all resignations with India roles, no exceptions. We only made $33 billion last year so I guess hiring in the US is just too expensive.
My read on this: I am keeping the four day rule in mind. This rule applies to all material agreements even those not binding. If negotiations had collapsed and the LOI were terminated, they would be obligated to disclose by Monday at the earliest. I also consulted a close friend who is a managing partner at a major investment fund. His view is that bridge loans are often extended when the borrower can show the bridge is still active and serving its purpose. The definitive 14A filing is encouraging because it signals that management is executing the process as expected. With the RSS vote scheduled nearly a month out, they have secured the procedural step that had me and you worried. Based on that sequencing, I would not be surprised to see an update or news release early next week now that the reverse split mechanics are set and the calendar is locked. Oh and let’s not forget that, the RTO can move forward while the RSS process is underway. The reverse split is just to keep Sonim Nasdaq-compliant and clean up the share structure so a merged company meets listing standards. They can keep negotiating and even announce a definitive deal before the split is executed. Shareholders will need a separate vote on the merger itself, but both steps can run in parallel. Also an increase in Authorized Common Stock 100 M -> 1B this gives management room to issue new shares for the RTO, financing, or future deals. It also creates more headroom for warrants, options, or PIPE financing. We still have to Summing up: unless they announce the termination of the LoI everything points towards the fact that the RTO is happening but may be delayed, it’s good to monitor it closely and be cautious of the coming days but the play is still in place and in my opinion the risk involved with the play has not exponentially increased so far
Many corporations have been pushing for RTO vs remote work, even though ones that are still hiring Americans in country. If it is now going to cost them 100k per year, per H1B, in many cases it will be cheaper to build an office and staff it in another country than to pay for H1Bs to work in office in the US. Sure, companies have been pushing to cut costs and offshore for decades, and this will accelerate further offshoring.
RTO isn’t because they want you on the office, it’s because they want people to quit without having layoff headlines
You’re overthinking this. NASDAQ requests that companies meet with them if they request a bid extension//to make a plan to regain compliance. 99% of the time this plan involves approving a RSS. They likely just have to do this for the plan, but the language in the proxy is quite clear that they don’t have to do one if not needed. The timing is also more flexible than you think. With the shareholder vote on the secondary board members (toxic) and finalization of the sale of asset on july 17th, the vote will likely happen later. The deadline for the sale is not until January 13th 2026 so they only need Shareholder approval by then. https://www.otcmarkets.com/filing/html?id=18627823&guid=e7Z-kH2IptrV-ch the language in the PA also shows no matter what they are gonna RTO this since its a shell now essentially, the Ad of 290 million is way too attractive as well, so will be a great RTO target. I would have to assume theyre still going through the process right now, similar to MGOL timeline. I bought some more today on the volume, probably bought ur shares :)
They filed a definitive proxy statement today, they set the special meeting on Octuber 16th. They mentioned a RSS proposal but nothing about a RTO, and to approve an amendment to increase the number of authorized shares of the common stock
An update for everyone still in this stock - TLDR we might be in trouble and I have trimmed my position. I hadn't realised that when it comes to an RSS vote and similar matters, a definitive proxy statement stating the time and details of the meeting *must* follow the proxy statement, provided that the SEC has no comments (which it has 10 calendar days to do so). Today is the 10th calendar day and nothing has been filed on EDGAR, although apparently there is a 20-day lag on EDGAR if indeed the SEC and a company are messaging back-and-forth. In other words, the latest we will have any kind of update on what might be happening is 29th September, at which point we would see a filing from the SEC on EDGAR (this outcome would be disastrous). The earliest we could have an update regarding the date of the vote would have been tomorrow, but tomorrow falls on a weekend - so Monday 22nd September we will hopefully see a definitive proxy statement filed on EDGAR. In the definitive proxy statement, the company has to give shareholders at least 10 calendar days’ notice before holding the meeting. That would put the shareholder vote on the RSS at 2nd of October at the absolute earliest. The company would then have 4 business days to file the results of that vote, with a 1-2 day lag. That gives us a preliminary date range of 6th to 10th of October for the announcement of the RSS. This timeline is right up against the Oct 11 deadline on their bridge financing. So the timing here is razor-thin, and i would expect choppy waters for the stock price during this time. After the RSS has been voted on, the company would still need to file another proxy statement regarding the vote on the RTO, meaning this whole 25-30 day timeline starts again, putting us well outside the bridge-financing period. This timeline is not at all encouraging. We would have to hope quite a few things fall into place - RSS vote takes place before 11th October, the result is positive and the bridge financing company agrees to some kind of extension. Another relevant update to mention here is that there seems to be some kind of restructuring at Qumulus. Their CEO is now SVP of Capital Markets, while one of their board advisors is now CTO. I initially thought this was very positive news as it may have signalled the RSS getting through, but given what I've since discovered about timelines I realise this kind of update can cut both ways. It's possible Qumulus see this deal falling through with the timeline left so razor thin and are now looking at other ways to go public - hence the CEO pivoting in his role to Capital Markets. I just cut my position by 60% and will likely reduce it by another 20% if no definitive proxy statement is filed by end of play Monday. Good luck to all.
An update for everyone still in this stock - TLDR we might be in trouble and I have trimmed my position. I hadn't realised that when it comes to an RSS vote and similar matters, a definitive proxy statement stating the time and details of the meeting *must* follow the proxy statement, provided that the SEC has no comments (which it has 10 calendar days to do so). Today is the 10th calendar day and nothing has been filed on EDGAR, although apparently there is a 20-day lag on EDGAR if indeed the SEC and a company are messaging back-and-forth. In other words, the latest we will have any kind of update on what might be happening is 29th September, at which point we would see a filing from the SEC on EDGAR (this outcome would be disastrous). The earliest we could have an update regarding the date of the vote would have been tomorrow, but tomorrow falls on a weekend - so Monday 22nd September we will hopefully see a definitive proxy statement filed on EDGAR. In the definitive proxy statement, the company has to give shareholders at least 10 calendar days’ notice before holding the meeting. That would put the shareholder vote on the RSS at 2nd of October at the absolute earliest. The company would then have 4 business days to file the results of that vote, with a 1-2 day lag. That gives us a preliminary date range of 6th to 10th of October for the announcement of the RSS. This timeline is right up against the Oct 11 deadline on their bridge financing. So the timing here is razor-thin, and i would expect choppy waters for the stock price during this time. After the RSS has been voted on, the company would still need to file another proxy statement regarding the vote on the RTO, meaning this whole 25-30 day timeline starts again, putting us well outside the bridge-financing period. This timeline is not at all encouraging. We would have to hope quite a few things fall into place - RSS vote takes place before 11th October, the result is positive and the bridge financing company agrees to some kind of extension. Another relevant update to mention here is that there seems to be some kind of restructuring at Qumulus. Their CEO is now SVP of Capital Markets, while one of their board advisors is now CTO. I initially thought this was very positive news as it may have signalled the RSS getting through, but given what I've since discovered about timelines I realise this kind of update can cut both ways. It's possible Qumulus see this deal falling through with the timeline left so razor thin and are now looking at other ways to go public - hence the CEO pivoting in his role to Capital Markets. I just cut my position by 60% and will likely reduce it by another 20% if no definitive proxy statement is filed by end of play Monday. Good luck to all, and if you bought the day I made this post you will have at least still made a 20-30% gain.
An update for everyone still in this stock - TLDR we might be in trouble and I have trimmed my position. I hadn't realised that when it comes to an RSS vote and similar matters, a definitive proxy statement stating the time and details of the meeting *must* follow the proxy statement, provided that the SEC has no comments (which it has 10 calendar days to do so). Today is the 10th calendar day and nothing has been filed on EDGAR, although apparently there is a 20-day lag on EDGAR if indeed the SEC and a company are messaging back-and-forth. In other words, the latest we will have any kind of update on what might be happening is 29th September, at which point we would see a filing from the SEC on EDGAR (this outcome would be disastrous). The earliest we could have an update regarding the date of the vote would have been tomorrow, but tomorrow falls on a weekend - so Monday 22nd September we will hopefully see a definitive proxy statement filed on EDGAR. In the definitive proxy statement, the company has to give shareholders at least 10 calendar days’ notice before holding the meeting. That would put the shareholder vote on the RSS at 2nd of October at the absolute earliest. The company would then have 4 business days to file the results of that vote, with a 1-2 day lag. That gives us a preliminary date range of 6th to 10th of October for the announcement of the RSS. This timeline is right up against the Oct 11 deadline on their bridge financing. So the timing here is razor-thin, and i would expect choppy waters for the stock price during this time. After the RSS has been voted on, the company would still need to file another proxy statement regarding the vote on the RTO, meaning this whole 25-30 day timeline starts again, putting us well outside the bridge-financing period. This timeline is not at all encouraging. We would have to hope quite a few things fall into place - RSS vote takes place before 11th October, the result is positive and the bridge financing company agrees to some kind of extension. Another relevant update to mention here is that there seems to be some kind of restructuring at Qumulus. Their CEO is now SVP of Capital Markets, while one of their board advisors is now CTO. I initially thought this was very positive news as it may have signalled the RSS getting through, but given what I've since discovered about timelines I realise this kind of update can cut both ways. It's possible Qumulus see this deal falling through with the timeline left so razor thin and are now looking at other ways to go public - hence the CEO pivoting in his role to Capital Markets. I just cut my position by 60% and will likely reduce it by another 20% if no definitive proxy statement is filed by end of play Monday. Good luck to all, and if you bought the day I made this post you will have at least still made a 20-30% gain.
I think there’s also the possibility of RSS announcement after-hours Friday (so market can’t react), then the announcement of RTO on Monday before market opens, so that the good news trumps the bad news
SONM - yes, it not a real company since their asset sale, but it could 10x if the RTO they submitted a letter of intent for in June goes through and they backdoor an ai company public. If not it will go to 0. 🎰 on an announcement one way or the other in the next two weeks.
I would rather bet on RSS announcement -> RSS goes into effect + RTO announcement at the same day.
Another update to this - Ryan Dirocco has gone from advisor to CTO. Both these moves are consistent with a company restructuring, almost certainly from the result of the RTO going through. I expect a new name to be brought in as CEO.
To do what? It’s expensive as hell and needs a RTO to get moving.
Hi! A fellow holder of >10k shares I really like this play I’ve been really invested into doing my own dd for the past days, so maybe I’ll be able to ease you a little bit as the asset sale to Social Mobile is already well down the path toward completion: • SONM publicly announced the signed purchase agreement this isn’t just an LOI. The terms were detailed in an 8-K and press release: $15M upfront cash, up to $5M earn-out, plus Social Mobile taking on certain liabilities. • The transaction has been reviewed and approved by a Special Committee of independent directors. The same release emphasized the board believes the sale plus RTO path maximizes shareholder value. • The remaining steps are routine - closing conditions like regulatory filings and the transfer of specific assets. No red flags (like antitrust concerns) exist because this is a small rugged-phone business. • SONM stated in late July that the deal was “on track to close in Q4 2025,” which matches the normal timeline for an asset transfer of this size. Have a great day! I have a dd that I want to post soon with some interesting finds!
Alright, I'm deeply invested into it right now but I still have some issues with this play that maybe someone will be able to ease. There is still no info from SONM about shareholders vote on asset sale to Social Mobile. RTO with Qumulus can't happen before that (correct me on that if Im wrong) and because of that I'm sceptic about RTO announcment in upcoming 2 weeks. Ofc asset sale and RTO are two different things but i can't imagine that they will announce RTO then let the hype die before RTO itself just because asset sale is not finalized. As for the RSS I made my peace with it. It's unavoidable. Play is less juicy but still juicy enough.
RTO isn’t that bad if you can generate AI porn on the computer lol
“I did this once therefore it must always be bad” is your argument”. The company filed a proxy statement announcing a vote on an RSS and everything points to that vote having been passed. If you don’t understand the implications of an RSS then I can’t help you. Stock is up 30% since last week on the back of news. Info is leaking and the RTO is coming.
1) The entire point of the RSS is to remain NASDAQ compliant 2) Some insiders (not all) offloaded before the announcement of the RTO
I don't have a crystal ball but you'd have to think it's a 5x minimum, adjusted for the RSS split, because I don't see how else the board could turn down a $3,60 offer only to have an RTO that only pushes the stock 2x. To give a numerical example, let's say we have an RSS announcement with a 10:1 ratio, that would push today's SP to $7.40 (but you'd have 1/10th of the shares you had before). For management to then justify rejecting the previous offer, they must have some expectation that the stock will surpass $37 in the days after the RTO is announced. I think my main concern at this point is how strong the Qumulus AI story will be post RTO announcement. Right now, they have a very limited footprint online with not much PR. I don't see how SONM board could have the confidence to reject $3,60 per share unless Qumulus AI has very strong fundamentals in the absence of good PR.
Assuming the RSS and RTO occurs, what would you say is the upside in terms of % for the share price?
Lol. Companies will never admit why they are downsizing (bad news), AI, RTO, etc is an easy patsy something so they don't have to give bad news.
Yes they did. That’s the entire point of the RSS. It will reduce the number of shares but increase the stock price. The RSS isn’t the price catalyst though, that’s just to make them Nasdaq compliant to push the RTO through.
https://ir.sonimtech.com/news-events/press-releases/detail/263/sonim-technologies-signs-letter-of-intent-for-reverse?utm_source=chatgpt.com LOI for RTO was signed end of June so those 2 things may not be related topics. Even if so - someone with extended knowledge about market and a track record of such plays bought almost 5% of the company. I would say this is rather encouraging.
Still at least a week before RSS and eventuall announcment. Im betting on 22.09. Only thing I'm worrying a little about is that there is no meeting schedule for asset sale. I imagine it should be done before RTO news. My wet dream is RTO news before RSS.
Went out for pizza and drinks around 11 Traffic was probably the lowest levels I've seen in years RTO is back
Unless they are regarded, they should be announcing the RTO at the same time they confirm the RSS
Alright folks, here is the news: [https://www.sec.gov/Archives/edgar/data/1178697/000119312521272887/d212260dex991.htm](https://www.sec.gov/Archives/edgar/data/1178697/000119312521272887/d212260dex991.htm) 1:10 RSS AUSTIN, TEXAS — September 14, 2021 — Sonim Technologies, Inc. (“the Company” or “Sonim”) (Nasdaq: SONM), today announced that it intends to effect a one-for-ten reverse split of its issued and outstanding common stock (the “Reverse Stock Split”). The Reverse Stock Split will become effective as of 5:00 p.m. Eastern Time on September 15, 2021 (the “Effective Date”), and the Company’s common stock is expected to begin trading on a split-adjusted basis when the market opens on September 16, 2021. So split will be effective next Monday after hours. I'm thinking about 2 way scenarios for myself: 1. Raid the waves. It is what it is. 2. Risk it and go out Monday to let the initial downfall after RSS happen and reenter on lower cost basis. I don't think anything will be announced nor Monday nor with Tuesday morning after RSS will be already done. On the other hands if they will announce RTO the same day then the whole play will just fly over my head. Coin toss basically. Any thoughts on this?
The upside comes from them being a vertically integrated HPCaaS AI infrastructure provider, controlling everything from power generation to GPU data centers, which could give them a cost advantage in a market where AI compute demand is exploding. The sector is hot (see Nebius/Microsoft), and an RTO lets Qumulus go public and raise capital quickly without the long IPO process. For SONM holders, that means getting in at a pre-public valuation with potential hype-driven upside, but it’s still high-risk given Qumulus’ stealth mode and lack of public financials.
I think the real question is why would Qumulus be worth buying if an RTO were to happen. Suppose everything between SONM and Qumulus is true., what is the upside and future growth potential we're looking at?
Dude, did you even read the post or are you intentionally trolling? This isn’t about SONM and their lack of revenue. They’ve sold their assets and they’re a shell company. It’s about the prospect of an AI infrastructure RTO. If you’re not going to even bother reading the post to understand the argument (which i said from the outset is complicated), don’t bother.
Not sure what your rebuttal is. Qumulus RTO is bad because SONM suck as a company?
How quickly could they implement a reverse stock split if the vote passes today? When would results of vote be shared? Ideally i hope they announce RTO before actually deciding to do reverse stock split. But i can see them quickly do RSS to drop price and then announce RTO to pump price....
That's what I'm hoping on. That the announcment will be good enough. To be honest i hope it will be enough for stock to explode then just cash out and call it a day. I would like to avoid stock split every single time. I would rather play it on potential hype from RTO and not on RTO itself.
The reverse split here is unavoidable. It’s basically an insurance policy to keep SONM listed on Nasdaq until the RTO closes. Nasdaq gives you 180–360 days to get back over $1, but if you don’t make it, they can delist you. Qumulus won’t merge into a delisted shell, so SONM’s board needs a guaranteed way to stay compliant. In theory, a reverse split should multiply the share price by a set ratio (e.g., 1-for-10 turns $0.75 into $7.50) so they meet Nasdaq’s $1 rule. It doesn’t change the company’s value and doesn’t automatically make the price “go up” in the long run. In fact, the price will likely go down again if there’s no good news behind it. Where it can help is if it’s timed with positive news. The recent news with Nebius is huge for us and the AI infrastructure hype is real, so if they time this right there is still money to be made here. In that scenario the split gives them a higher base price, smaller float, and the hype can push it further. If the RTO news alone pushes the stock over $1 and it holds for 10 days, they might not even need to do the split.
Im twitching every time i see "reverse stock split" anywhere. Allergic reaction. But my question is is a reverse split just a bait for nasdaq or it really needs to be done. I can imagine that it will be postponed to some future date and in the meantime RTO announcment will fix the issue.
This is normal for an RTO. They’re dumb for considering it before news. But qumulus is absolutely the RTO target, Mike Mullica is interacting with QAI ceo on LinkedIn
I mean, another 2 things with increase in common stock is well within the plan of RTO. I hope stock split will have some future date and is just a compliance plan for nasdaq. Question is how much heat can be taken before anything positive happen.
Ive honestly stopped looking at the stock price lol. Just have RSS updates on SEC page and get notified on company updates. Bridge financing begins to penalize Sonm if they haven’t made any moves by Nov. Without coping too hard, the price is still well above NAV, I’m not planning on an exit. IMO it’s staying suppressed to benefit RTO target, as short interest currently is nil.
Welp. After seeing the Nebius news, now would be a really good time to announce this RTO. A big sell off will be inevitable in the coming weeks if we don’t hear something really soon.
It's not the companies trying to slow the momentum: many of them have gone pretty deep into EVs as the future. The risk is that the government is now putting their thumb directly on the scale in favor of oil even harder, with huge subsidies to the oil and gas industry continuing or increasing and benefits to EVs being sharply curtailed. Because so much of electricity in the U.S. is based on oil and gas, increased oil prices hurt both types of vehicle, but an EV will also cost a few grand more up front. Politics aside, an American trying to buy transport to and from their now mandatory RTO job is going to have to balance the higher cost of an EV up front vs the long term lower cost of ownership.
I'll be very concerned if nothing happens this week. The more I research this company and the people behind it the more concerns I'm starting to have. A lot of so-called investors and people who have worked in managerial positions behind this company but when you dig deep there almost none with any substance or know-how. No idea how this aligns with their claim to be vertically integrated when their size seems to suggest a very lean start-up with effectively zero assets. It's possible they are just selling an idea and being economical/misleading with the truth in order to get funds via an RTO but that is still somewhat of a red flag. OP, are you still with us or have you gone dark?
With the push of RTO, I doubt it will materialize.
It's also, for a reason hardly anyone talks about anymore, not a really good time to actually do RTO...
Amazon has been slashing product development teams as well. Apparently fewer people quit from the RTO the CEO implemented to force people out than the CEO was hoping for. My neighbor is a software engineer and had that happen to him. He was given 60 days to RTO despite being hired as remote 7 yrs ago. They were expecting him to say no. He agreed and asked for an extra 30 day extension. They said sure no problem. He was making arrangements to move. Then they fired him anyways along with 11 out of 12 people on his team. He said they kept the newest software engineer and threw him on another team.
>That said...this would make for a good RTO shell for a big corp partner coming in with massive capital? Would also make a good arms length entity for GTI to acquire an LP with strong international (European) exposure and run until GTI and uplist and absorb
I get it all that. Generally share the sentiment. But it's an awful lot of tea leaf reading, which has been very dangerous in this sector. I guess I'm approaching it more from the Occam's razor mindset until I see actual proof of a grander strategy. That said...this would make for a good RTO shell for a big corp partner coming in with massive capital?
I’m still very confident the original plan by sonim and RTO target, who I believe is qumulus, is going to plan. Monday Sonim will be able to issue more shares, which is necessary to actually perform a reverse merger. The more shares that Qumulus currently owns via third parties who bought poison pill shares, the more the stock will surge if/when news drops.