/C O R R E C T I O N -- Synteq Digital/

Rhea-AI Summary

Synteq Digital (HKHC) announced it has closed the acquisition of HMTech's operating assets and specialized repair facilities, plus two Texas data center sites with combined current and expansion capacity of up to 30MW. The deal expands Synteq into ASIC and GPU repair & refurbishment and forms a new GPU Repair and Refurbishment Division.

Majority consideration was settled in equity; HMTech management will join Synteq, and strategic real estate from Horizon Kinetics and FRMO was previously acquired to support scaling.

Positive

• Closed acquisition adds HMTech operating assets and specialized repair facilities
• Adds two Texas data center sites with up to 30MW current and expansion capacity
• Establishes a new GPU Repair and Refurbishment Division targeting HPC and AI hardware
• Majority of HMTech management and employees to join Synteq for operational continuity

Negative

• Majority consideration settled in equity, creating potential shareholder dilution concerns

News Market Reaction

%

1 alert

% News Effect

On the day this news was published, HKHC declined NaN%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

In the news release, , issued 09-Feb-2026 by Synteq Digital over PR Newswire, we are advised by the company that the headline should read "Synteq Digital Closes Acquisition of HMTech Operational and Strategic Data Center Assets, Expanding into ASIC and GPU Repair & Refurbishment" rather than "Synteq Digital Enters into Definitive Agreements to Acquire HMTech Operations and Strategic Data Center Assets, Expanding into ASIC and GPU Repair & Refurbishment" as originally issued inadvertently. The complete, corrected release follows:

Synteq Digital Closes Acquisition of HMTech Operational and Strategic Data Center Assets, Expanding into ASIC and GPU Repair & Refurbishment

WILMINGTON, Del., Feb. 9, 2026 /PRNewswire/ -- Synteq Digital ("Synteq"), a global leader in digital compute infrastructure and services, today announced it has closed a transformative strategic acquisition involving the operating assets of HMTech, a premier repair and maintenance business.

The asset acquisition, together with the previously announced strategic real estate acquisition from Horizon Kinetics ("Horizon") and FRMO Corp. ("FRMO"), represents a major expansion of Synteq's vertically integrated service capabilities. The assets being acquired from HMTech include its operating business, specialized computer hardware repair facilities, and two data center sites in Texas with current and expansion capacity of up to 30MW. A majority of the consideration for the acquisition was settled in equity, reinforcing the long-term alignment between Synteq, HMTech's leadership, and Horizon.

Strategic Expansion into GPU Services
The acquisition of HMTech's assets marks a pivotal expansion in Synteq's service offerings. These core assets of HMTech, which is known for its deep technical expertise in ASIC repairs, will serve as the foundation for Synteq's new GPU Repair and Refurbishment Division. This expansion will allow Synteq to service the booming demand for high-performance computing (HPC) and AI hardware maintenance, extending the lifecycle of critical compute assets for clients and partners worldwide, additionally providing access to low cost computer hardware for its own scaling HPC offering.

"This acquisition is at a strategic moment for Synteq. By combining HMTech's world-class technical operations with strategic real estate in Texas and North Carolina, we are securing both the talent and the physical footprint needed to dominate the next phase of digital infrastructure," said Taras Kulyk, CEO of Synteq Digital. "We are moving into comprehensive lifecycle management for high-value compute hardware, including GPUs. We're not abandoning our foundation, but expanding our offering to become a leader in the digital compute services offering."

Leadership Integration
As part of the transaction, the majority of HMTech's management and employees will join Synteq, ensuring seamless continuity for existing clients as operations scale. Gerald Wilkie, CEO of HMTech, will join Synteq's leadership team as Vice President of Mining Site Development to ensure a seamless transition of the newly expanded repair and technical services division and to support site development as the company scales its data center footprint.

"Joining forces with Synteq provides HMTech with the platform and resources to scale our operations at a pace that wouldn't be possible independently," said Gerald Wilkie. "We have built a reputation for technical excellence at all of our sites, and by integrating with Synteq's global footprint, we can now offer our specialized repair and refurbishment services, specifically for GPUs and HPC hardware, to a much broader market. I look forward to working with Taras and the team to build the premier technical services provider in the industry."

"We have watched Synteq execute on its strategy with precision and are thrilled to, once again, convert our relationship from partner to shareholder," said Murray Stahl, CEO of Horizon Kinetics. "This transaction allows us to contribute our real assets to a dynamic operating business that is well-positioned to capitalize on the secular trends in digital compute and AI. We look forward to supporting the team as they execute this next phase of growth."

The completion of the transaction is subject to customary closing conditions.

Advisors
Keefe, Bruyette & Woods ("KBW"), A Stifel Company, served as financial advisor to Synteq Digital in connection with the transaction. Cozen O'Connor LLP served as legal advisor to Synteq Digital.

About Synteq Digital
Synteq Digital is a premier provider of infrastructure, hardware services, and solutions for the global data center sector. The company focuses on expanding its offerings to support large enterprise data center operators and the broader digital compute industry through strategic acquisitions and service expansion.

About Horizon Kinetics LLC
Horizon Kinetics Holding Corporation (OTC: HKHC), through its subsidiary investment manager, Horizon Kinetics Asset Management LLC ("Horizon"), is an investment advisory firm providing independent proprietary research and investment advisory services for long-only and alternative value-based investing strategies.

About FRMO Corp.
FRMO Corp. invests in and receives revenues based upon consulting and advisory fee interests in the asset management sector. For more information, visit www.frmocorp.com .

About HMTech
HMTech is a leading provider of specialized repair and maintenance services for digital compute hardware. Based in Texas, the company operates state-of-the-art facilities focused on ASIC and GPU diagnostics, repair, and refurbishment.

Media Contact:

pr@synteq.digital, http://synteq.digital

View original content to download multimedia:https://www.prnewswire.com/news-releases/synteq-digital-enters-into-definitive-agreements-to-acquire-hmtech-operations-and-strategic-data-center-assets-expanding-into-asic-and-gpu-repair--refurbishment-302682781.html

SOURCE Synteq Digital

FAQ

What did Synteq Digital (HKHC) announce on Feb 9, 2026 about the HMTech acquisition?

Synteq announced it closed the acquisition of HMTech operating assets and repair facilities. According to the company, the deal includes two Texas data center sites with up to 30MW capacity and creates a GPU repair and refurbishment division.

How will the HMTech acquisition affect Synteq Digital's services and offerings (HKHC)?

The acquisition expands Synteq into GPU and ASIC repair, adding lifecycle services for HPC hardware. According to the company, this supports servicing AI and high-performance compute clients and provides hardware access for Synteq's own scaling needs.

What operational assets did Synteq acquire from HMTech and what capacity was included (HKHC)?

Synteq acquired HMTech's operating business, specialized repair facilities, and two data center sites in Texas. According to the company, those sites have current and expansion capacity of up to 30MW.

Did HMTech leadership join Synteq Digital after the acquisition (HKHC)?

Yes; the majority of HMTech's management and employees will join Synteq to ensure continuity. According to the company, Gerald Wilkie will join as Vice President of Mining Site Development to support scaled operations.

How was the HMTech acquisition financed and what does that mean for HKHC shareholders?

A majority of the consideration for the acquisition was settled in equity, aligning stakeholders long-term. According to the company, this equity-based consideration may affect existing shareholder dilution and ownership percentages.