OMER, Israel, February 11, 2021 (GLOBE NEWSWIRE) – Medigus Ltd. (Nasdaq: MDGS), a technology company engaged in advanced medical solutions and cutting-edge Internet technologies, today announced that its 50.1% owned subsidiary, Smart Repair Pro, Inc., a data-driven e-commerce company that operates on Amazon Marketplace signed an agreement to purchase assets from a leading fitness toy brand in its category on Amazon Marketplace.
The fitness toy brand was founded in August 2019. According to unaudited sales data provided to Smart Repair Pro, sales for 2020 were $ 2.5M with net income of approximately $ 942,000, which translates into a margin of approximately 40%. Currently, the brand is only sold on the Amazon Marketplace in the US, while Smart Repair Pro intends to expand it on the Amazon Marketplace in the territories where Smart Repair Pro operates.
Smart Repair Pro agreed to pay $ 4 million to purchase the assets. The conclusion of the sales contract is subject to customary closing conditions, including a review of the assets. 80% of the purchase price or $ 3.2 million will be funded by Medigus as a loan to Smart Repair Pro.
To date, Smart Repair Pro and Purex Corp. own and operate three brands on Amazon. Smart Repair Pro recently announced the signing of the acquisition of two more new brands. Should all purchases be completed, Smart Repair Pro and Purex Corp. own and operate six different brands on the Amazon Marketplace.
If all agreements are in place, Smart Repair Pro estimates sales of $ 10 million in 2021 with a net profit of approximately 40%.
Smart Repair Pro uses its extensive knowledge and unique technology to identify existing brands and stores on the Amazon Marketplace for acquisition and to revive them in terms of marketing, reviews and sales. The company operates in a number of marketplaces including the United States, Canada, Australia and Europe.
About Medigus
Medigus is listed on the Nasdaq Capital Market. To learn more about the company’s advanced technology, please visit www.medigus.com.
Contact (only for media)
Oz eagle
CFO
+ 972-8-6466-880
ir@medigus.com
Cautionary Note Regarding Forward-Looking Statements
This press release may contain statements that are “forward-looking statements” based on current estimates, beliefs and expectations of the company’s management and their knowledge of the relevant market. Whenever possible, the company has tried to identify such information and statements with words such as “anticipate”, “believe”, “imagine”, “estimate”, “expect”, “intend”, “may”, “plan”. “Predict”, “Project”, “Goal”, “Potential”, “Will”, “Dignity”, “Might”, “Should”, “Next”, “Ponder” and other similar terms and derivatives thereof in connection with Any Discussion of future events, trends, or prospects, or future operational or financial performance, although not all forward-looking statements contain these identifying words. For example, the Medigus uses forward-looking statements when discussing the possible conclusion of the sales contract and its belief that Smart Repair Pro, based on its extensive knowledge and unique technology, can buy existing brands and businesses and reverse sales in terms of marketing, ratings and reversals or when Medigus discusses the expected sales and net margin of Smart Repair Pro in 2021. These forward-looking statements reflect Medigus’ expectations or beliefs about future events and it is possible that the results described in this press release will not be achieved. among other things due to the spread of COVID-19 and the resulting restriction. Nothing in the description herein should be construed or construed as an announcement of any income that Smart Repair Pro, Inc. will receive from the potential purchase of these assets. By their very nature, forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause future results of the company’s business to differ materially from the content and effects of such statements. Additional risk factors that affect the company are discussed in detail in the company’s filings with the Securities and Exchange Commission. Forward-looking statements are only relevant as of the date of their publication and the company assumes no obligation to update or revise any forward-looking statements as a result of new information, future developments or for any other reason. Neither the company nor its shareholders, officers and employees shall be liable for any action or the results of any action taken by any person based on the information contained herein, including, but not limited to, the purchase or sale of any corporate securities. Nothing in this press release should be taken as medical or other advice of any kind.
