Star Equity Holdings Inc

Star Equity Holdings announced a merger agreement to acquire Harte Hanks for $5 per share, valuing the deal at approximately $38 million on a fully diluted basis. The consideration will be paid half in cash and half in Star Equity preferred stock, with Harte Hanks shareholders able to elect their preferred form subject to a $19.2 million cash cap. Star Equity expects to realize $10 million in cost synergies, with combined pro forma revenue around $400 million and adjusted EBITDA of approximately $30 million. The transaction includes a 30-day go-shop period and is expected to close by the end of 2026. Star Equity also reported second quarter results, with Energy Services revenue up 19% to $3.9 million and adjusted EBITDA up 126% to $1.2 million, while Building Solutions revenue fell to $14.6 million from $20.4 million a year earlier.

Star Equity Holdings has been added to the Russell Microcap Index following the 2026 Russell indexes reconstitution, effective after the US market close on June 26, 2026. The Russell Microcap Index measures the performance of the microcap segment of the US equity market and is used by institutional investors and investment managers as a benchmark for microcap equities. CEO Jeff Eberwein called the inclusion a meaningful milestone that reflects the company's progress in building a diversified platform for long-term shareholder value creation and expands its visibility within the institutional investment community. Star Equity Holdings is a diversified holding company with four segments: Building Solutions, Business Services, Energy Services, and Investments.