ContextLogic to Acquire US Salt for $907.5M in Radical Pivot
The former parent of e-commerce platform Wish is transforming into a business ownership platform, making the 132-year-old salt producer its first major acquisition.
ContextLogic Inc. (LOGC), the company formerly known for its struggling e-commerce platform Wish, announced a definitive agreement on Monday to acquire US Salt in a transaction valued at $907.5 million. The deal marks a radical strategic pivot, transforming ContextLogic from a consumer-facing tech company into a diversified business ownership platform.
The acquisition price is nearly five times ContextLogic's recent market capitalization of approximately $195 million, signaling a complete overhaul of its corporate identity. The move follows the sale of the Wish platform earlier this year, which allowed the company to shed its high-burn e-commerce operations and retain significant cash reserves for a new strategy.
US Salt, a 132-year-old company based in New York, is a leading producer of high-purity evaporated salt for a range of industrial and consumer applications. According to company statements, the business is highly profitable, serving recession-resilient markets with strong revenue growth and consistent cash flow—a stark contrast to the volatile, high-cost model of its former e-commerce subsidiary.
This transaction is the first major step in ContextLogic's new mission to acquire and manage a portfolio of "niche, competitively-advantaged, long-duration businesses," according to a press release. The company aims to leverage its substantial cash balance and net operating losses to build a diversified holding company.
The deal is being executed in partnership with several institutional investors. Funds advised by Abrams Capital, a major equity holder in US Salt, will roll over their investment and become the largest shareholder of the newly configured ContextLogic. The acquisition is further supported by a rights offering, which has been fully backstopped at $8 per share by Abrams Capital and BC Partners, demonstrating strong investor confidence in the new direction.
ContextLogic's pivot comes after a prolonged period of decline for its Wish platform. The e-commerce site, once a high-flying marketplace known for its ultra-low-priced goods, saw its fortunes dwindle amid intense competition and shifting consumer habits. Wish's revenue fell by over 50% in 2023, and its monthly active user base plummeted from a peak of 90 million in 2021 to just 12 million by late 2023, as reported by Business of Apps.
The company's strategic shift began in earnest with a strategic investment of up to $150 million from BC Partners Credit earlier in 2025, setting the stage for its acquisition-led strategy. Following the sale of its e-commerce assets, ContextLogic delisted from the Nasdaq and now trades on the OTCQB Venture Market, a move that may have contributed to a muted initial reaction from Wall Street analysts.
The acquisition of US Salt from private equity firm Emerald Lake Capital Management is expected to provide ContextLogic with a stable and profitable foundation upon which to build its new platform. The transaction effectively redeploys the company's capital from a cash-intensive tech venture into a durable industrial asset, a strategy aimed at creating long-term, sustainable shareholder value.