Medigus: Smart Repair Pro Signed Agreement to Purchase Leading Fitness Toys Brand in its Category on Amazon Marketplace for $...
February 11 2021 - 8:41AM
Medigus Ltd. (Nasdaq:MDGS), a technology company engaged in
advanced medical solutions and innovative internet technologies,
today announced that its 50.1% owned subsidiary, Smart Repair Pro,
Inc., a data-driven e-commerce company operating on the Amazon
Marketplace, signed an agreement to purchase assets of a leading
fitness toys brand in its category on the Amazon Marketplace.
The fitness toys brand was established in
August of 2019, according to unaudited sales data provided to
Smart Repair Pro the revenues for 2020 totaled $2.5 million with a
net profit of approximately $942,000, representing a margin of
approximately 40%. Currently, the brand is sold only at Amazon
Marketplace in the U.S., while Smart Repair Pro intends to expand
it on Amazon Marketplace in the territories Smart Repair Pro
operates in.
Smart Repair Pro agreed to pay $4 million for
the purchase of the assets. The closing of the purchase agreement
is subject to customary closing conditions, including an inspection
of the assets. 80% of the purchase price, or $3.2 million, will be
financed by Medigus as a loan to Smart Repair Pro.
To date, Smart Repair Pro and Purex Corp. own
and operate 3 brands on Amazon. Smart Repair Pro recently announced
the signing of the acquisition of two additional new brands.
Should all purchases be completed, Smart Repair Pro and Purex Corp.
will own and operate six different brands on the Amazon
Marketplace.
Should all agreements be finalized, Smart Repair
Pro estimates a $10 million in revenues in 2021 with approximately
40% net profit.
Utilizing its vast knowledge and unique
technology, Smart Repair Pro identifies existing brands and stores
on the Amazon Marketplace for acquisition, and in turn revitalizes
them in terms of marketing, ratings and sales. The company operates
in a number of marketplaces, including the U.S., Canada, Australia
and Europe.
About Medigus
Medigus is traded on the Nasdaq Capital Market.
To learn more about the company’s advanced technology, please
visit www.medigus.com.
Contact (for media only)Oz Adler Chief
Financial Officer +972-8-6466-880 ir@medigus.com
Cautionary Note Regarding Forward Looking
Statements
This press release may contain statements that
are “Forward-Looking Statements,” which are based upon the current
estimates, assumptions and expectations of the company’s management
and its knowledge of the relevant market. The company has tried,
where possible, to identify such information and statements by
using words such as “anticipate,” “believe,” “envision,”
“estimate,” “expect,” “intend,” “may,” “plan,” “predict,”
“project,” “target,” “potential,” “will,” “would,” “could,”
“should,” “continue,” “contemplate” and other similar expressions
and derivations thereof in connection with any discussion of future
events, trends or prospects or future operating or financial
performance, although not all forward-looking statements contain
these identifying words. For example, the Medigus uses forward
looking statements when discussing the potential closing of the
purchase agreement and its belief that Smart Repair Pro’s vast
knowledge and unique technology allows it to purchase existing
brands and stores and turn them around, in terms of marketing,
ratings and sales or when Medigus discusses the expected
revenue and net margin of Smart Repair Pro in 2021. These
forward-looking statements represent Medigus’ expectations or
beliefs concerning future events, and it is possible that the
results described in this press release will not be achieved, due
to inter alia the spread of COVID-19 as well as the restriction
deriving therefrom. Nothing in the description herein should be
understood or construed as an announcement of any revenues
generated by Smart Repair Pro, Inc. from the potential purchase of
these assets. By their nature, Forward-Looking Statements involve
known and unknown risks, uncertainties and other factors which may
cause future results of the company’s activity to differ
significantly from the content and implications of such statements.
Other risk factors affecting the company are discussed in detail in
the company's filings with the Securities and Exchange Commission.
Forward-Looking Statements are pertinent only as of the date on
which they are made, and the company undertakes no obligation to
update or revise any Forward-Looking Statements, whether as a
result of new information, future developments or otherwise.
Neither the company nor its shareholders, officers and employees,
shall be liable for any action and the results of any action taken
by any person based on the information contained herein, including
without limitation the purchase or sale of company securities.
Nothing in this press release should be deemed to be medical or
other advice of any kind.
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