Log In Get Started
Insider Trading April 13, 2026 04:15 PM

Connect Midstream and Affiliates Acquire $37.9 Million of Summit Midstream Stock

Purchase boosts Connect Midstream's direct stake as company activity includes a $42 million private placement and solid 2025 EBITDA

By Jordan Park SMC
Connect Midstream and Affiliates Acquire $37.9 Million of Summit Midstream Stock
SMC

Connect Midstream, LLC and related entities purchased 1,220,918 shares of Summit Midstream Corp (NYSE: SMC) on March 31, 2026, at $31.08 per share, a transaction valued at roughly $37.9 million that increased Connect Midstream's direct holdings to 1,367,397 shares. The stock trades below the purchase price at $28.54, though it has risen 41% over the past six months. Separately, Summit reported steady adjusted EBITDA for 2025 and completed a private placement tied to Tailwater Capital affiliates.

Key Points

  • Connect Midstream, LLC and affiliated entities purchased 1,220,918 shares of Summit Midstream at $31.08 per share on March 31, 2026, for about $37.9 million.
  • The purchase increased Connect Midstream's direct stake in Summit Midstream to 1,367,397 shares; Summit's stock trades at $28.54 and has risen 41% over the past six months.
  • Summit reported adjusted EBITDA of $58.6 million for Q4 2025 and $243 million for the full year, and completed a private placement with a Tailwater Capital affiliate to issue 1,351,351 shares at $31.08, raising $42 million for debt reduction and growth.

Connect Midstream, LLC - identified as a ten percent owner of Summit Midstream Corporation (NYSE: SMC) - and affiliated entities disclosed a substantial purchase of Summit Midstream common stock on March 31, 2026. The filing shows an acquisition of 1,220,918 shares at a per-share price of $31.08, bringing the total value of the transaction to approximately $37.9 million.

Following the trades, Connect Midstream's direct holdings in Summit Midstream rose to 1,367,397 shares. At the time of reporting, Summit Midstream's shares are quoted at $28.54, which is below the price paid in the March 31 transaction. Over the past six months, however, the stock has registered a strong 41% gain.

Ownership and corporate structure

The filing outlines the ownership chain behind Connect Midstream, LLC. Tailwater Energy Fund III LP is listed as the sole member of Connect Midstream, LLC. TW GP EF-III LP serves as the general partner of Tailwater Energy Fund III LP, and TW GP EF-III GP, LLC is the general partner of TW GP EF-III LP. Tailwater Capital LLC is the sole member of TW GP EF-III GP, LLC.

Jason Downie and Edward Herring are named as Managing Partners of Tailwater Capital LLC. The filing states that Downie and Herring disclaim beneficial ownership of the securities held directly by Connect Midstream, LLC except to the extent of their pecuniary interest in those holdings.

Signatures on the filing

Jason H. Downie signed the Form 4 on behalf of Connect Midstream, LLC. The filing also shows Downie signing for Tailwater Energy Fund III LP and Tailwater Capital LLC in his capacity as Managing Partner. Edward Herring is listed as an additional signatory on the form.

Analyst outlook and research access

Analysts covering Summit Midstream remain bullish, with a consensus price target of $46 per share, indicating notable upside from current levels. Investors seeking deeper analysis are directed to a comprehensive Pro Research Report on Summit Midstream, which is identified as part of a broader coverage universe of more than 1,400 U.S. equities.

Recent company financial activity

Summit Midstream reported adjusted EBITDA of $58.6 million for the fourth quarter of 2025 and $243 million for the full year, figures that the market received positively. In a related financing move, the company announced a private placement with an affiliate of Tailwater Capital LLC. Under the agreement Summit Midstream will issue 1,351,351 shares of common stock at $31.08 per share, raising approximately $42 million. Management indicated the proceeds are intended for debt reduction and to fund growth initiatives. The newly issued shares are subject to a six-month lock-up period.

Taken together, the insider purchase, analyst coverage, recent earnings, and the private placement underscore ongoing financial and capital allocation activity at Summit Midstream. The transaction and corporate actions are detailed in the regulatory filing signed by Connect Midstream representatives and affiliated partners.

Risks

  • The stock is trading below the price at which the insider purchase was made, indicating potential near-term market valuation risk for the newly acquired shares - this impacts investors and the broader equity market for midstream energy names.
  • The shares issued in the private placement are subject to a six-month lock-up period, which may limit immediate liquidity for those shares and affect market supply dynamics in the short term - relevant to equity investors and trading desks.
  • Although Summit reported steady adjusted EBITDA for 2025, the company is raising capital through a private placement to reduce debt and support growth; execution of those initiatives introduces financing and operational uncertainties that affect stakeholders across the energy and capital markets sectors.

More from Insider Trading

Westwood Holdings Director Emerita Disposes $47K in Company Shares Apr 13, 2026 Workday Insider Sells $12 Million in Stock Amid Mixed Signals from Analysts and Results Apr 13, 2026 RA Capital Increases Stake in Adicet Bio with $1.6M Purchase Apr 13, 2026 UWM CEO and SFS Holding Sell 3.0 Million Shares in $11.28M Disposition Apr 13, 2026 Fluor Disposes $162.9 Million Stake in NuScale Power as Shares Slip Apr 13, 2026