On September 25, HF Foods announced a $100 million at-the-market (ATM) equity program, providing financial flexibility for general corporate purposes, capital expenditures, and potential acquisitions. On September 29, the company entered into a binding agreement to acquire its Chicago distribution facility, previously leased, in a move that reduces facility costs, expands capacity, and positions the site for a broadline distribution model. We believe this acquisition enhances HF's Midwest presence, creating a strong third leg alongside its Charlotte and Atlanta facilities and driving meaningful cross-selling opportunities. While financial terms were not disclosed, we view the transaction as strategically accretive, with the potential to strengthen margins and accelerate long-term volume growth. HF's M&A pipeline remains robust, with management continuing to prioritize tuck-in opportunities that minimize integration risk and leverage the company's scaled operations. At quarter-end, HF Foods maintained a solid balance sheet, with $15.7 million in cash and net debt of approximately $90 million, supporting organic and inorganic growth initiatives. We maintain our $7 price target and Moderate risk rating, supported by transformation progress, improved purchasing scale, and long-term earnings power. Our $7 price target is based on 10x our 2026 EPS estimate of $0.70.