ContextLogic Holdings Inc. completed a $907.5 million acquisition of US Salt Parent Holdings, LLC and its subsidiaries on February 26, 2026, marking the company’s first fully operational business under its new holding‑company structure.
The deal was financed with a mix of cash, debt and equity. ContextLogic contributed $292 million in cash, including $150 million from a BC Partners Credit‑advised fund, secured a $215 million term loan and a $25 million revolving credit facility led by Blackstone Credit & Insurance, and raised $115 million through a rights offering at $8.00 per share. Existing US Salt shareholders rolled over $325 million of equity, giving them a significant stake in the combined entity.
Post‑closing, ContextLogic shareholders own roughly 60 % of the combined company, while investment funds advised by Abrams Capital and BC Partners Credit hold 40 % and 30 % respectively. The ownership structure reflects the strategic partnership with Abrams Capital, which will also appoint executives to the board.
The acquisition is part of ContextLogic’s pivot to a business‑ownership platform that leverages its $2.9 billion in net operating loss carryforwards. By acquiring a cash‑generating, recession‑resilient business such as US Salt, ContextLogic can offset taxable income with its NOLs, creating a tax‑efficient platform for future acquisitions and long‑term value creation.
The market reacted positively to the announcement, with increased trading activity and insider buying. A director and major shareholder purchased nearly 1.8 million shares at $7 per share, signaling confidence in the new strategy and the potential for multiple arbitrage in fragmented sectors.
Raja Bobbili, Managing Director at Abrams Capital and Chairman of the ContextLogic Board, said: “Today marks the culmination of nearly a year of strategic planning and execution. We believe ContextLogic is uniquely positioned to provide a long‑term home for exceptional businesses and management teams—combining permanent capital, operational autonomy, and true alignment between owners and operators.” Ted Goldthorpe, Chairman of the Investment Committee and a member of the Board, added: “We are excited to welcome US Salt into the ContextLogic family. With a 132‑year track record, a proven and resilient business model, and a highly capable management team led by David Sugarman, US Salt is exactly the kind of business we want to own.”
The acquisition positions ContextLogic to build a diversified portfolio of niche, cash‑generating businesses, using its tax assets to accelerate profitability. The move signals a decisive shift away from its former e‑commerce operations and underscores the company’s commitment to creating long‑term value through strategic acquisitions and disciplined capital deployment.
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