Logiq signs binding letter of intent to acquire digital marketing agency Battle Bridge
Strategic transaction seen as synergistic and accretive to 2022 earnings
NEW YORK, Feb. 17 2022 (GLOBE NEWSWIRE) — Logiq, Inc. (OTCQX: LGIQ, NEO: LGIQ), a global provider of award-winning consumer acquisition solutions, today announced that it has signed a binding letter of intent to acquire certain assets of Battle Bridge Labs LLC, (“Battle Bridge” ) a digital brand marketing agency based in Tulsa, Oklahoma.
battle bridge is a rapidly growing, leading provider of digital brand marketing services, including pay-per-click management, social media marketing, funnel building and optimization, SEO, web design, optimization converting and more. It expects to make $3.8 million in revenue in 2022 with $1.4 million in positive cash flow (EBITDA). It is a certified partner of Google, Shopify, bing ads, ima, and has been featured in Forbes, HuffPo, Wix.com, and other top publications.
The two companies have collaborated on projects recently, and Logiq management has been favorably impressed with Battle Bridge’s management, content creation quality, and operational execution. This transaction, as contemplated, is expected to provide Logiq with incremental revenue and accretive earnings while synergistically increasing its content creation resources and expanding its digital marketing expertise, allowing both companies to scale their assets and their operations to accelerate growth.
Letter of Intent Binding Terms
Under the terms of the letter of intent, the parties intend to enter into a formal purchase agreement by the end of the current quarter. Pursuant to the letter of intent, Logiq intends to purchase certain assets of Battle Bridge for a total consideration of $3.25 million, consisting of $250,000 in cash and the issuance of $3 million in restricted stock of common stock of Logiq which will be subject to a lock-up period of at least one year. arrangement with leakage valves in the second year. It is currently contemplated that the transaction will be structured as an asset purchase and that certain employees of Battle Bridge will become employees of Logiq upon closing of the transaction. The Letter of Intent contains a cease and desist provision, certain non-competition provisions and certain closing conditions, including, without limitation, receipt of shareholder approval (to the extent applicable) and other customary due diligence and closing terms, with both parties paying their own legal, accounting and other transaction fees.
Travis Phipps, Founder and President of Battle Bridge, said, “Battle Bridge is eager to scale its talent, resources, experience and customer base, and partnering with Logiq achieves this and enables the rapid growth we, at Battle Bridge, let’s thrive.
Brent Suen, President and CEO of Logiq, said, “We have enjoyed working with Battle Bridge over the past few months, appreciate their expertise and efficiency, and view this transaction as a win-win combination that accelerates growth and opportunities for both companies.
“The big takeaway for investors is that this is just one of many potentially accretive acquisitions we are currently considering,” Mr. Suen added. “We analyzed an initial list of nearly 100 potential industrial targets and then narrowed it down to a short list of exciting, innovative and accretive targets that we are actively exploring for a transaction. Financially, our goal for 2022 is to reach a break-even EBITDA rate by the end of the year – a goal that shapes every strategic decision.
Logiq Inc. is a leading US-based global provider of e-commerce and customer acquisition solutions by simplifying digital advertising. It provides end-to-end data-driven marketing through its results solution or by providing software to access data by activating campaigns across multiple channels.
Important Cautions Regarding Forward-Looking Statements
This press release contains certain forward-looking statements and information, as defined within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and is subject to the Safe Port created by these sections. This press release also contains forward-looking statements and forward-looking information within the meaning of Canadian securities laws that relate to Logiq’s current expectations and beliefs about future events. Any statement that expresses or implies discussions of expectations, beliefs, plans, goals, assumptions, or future events or performance (often, but not always, through the use of words or phrases such as ” will likely result”, “are expected”, “expects”, “will continue”, “is planned”, “anticipates”, “believes”, “estimates”, “intends”, “plans”, “plans”, “projection”, “strategy”, “target” and “outlook”) are not historical facts and may be forward-looking statements and may involve estimates, assumptions and uncertainties that could cause actual results will differ materially from those expressed in such forward-looking statements No assurance can be given that such expectations will prove to be correct and undue reliance should not be placed on any forward-looking statements included in this press release.
These statements speak only as of the date of this press release. Forward-looking statements are based on a number of assumptions and are subject to a number of risks and uncertainties, many of which are beyond Logiq’s control, which could cause actual results and events to differ materially from those disclosed or implied by such statements. forward-looking statements. In particular and without limitation, this press release contains forward-looking statements regarding our products and services, continued use and/or demand for our products and services, expectations regarding our earnings, and the revenue-generating potential of our products. and services, our strategic partnerships and alliances, potential strategic transactions, the impact of global pandemics (including COVID-19) on demand for our products and services, industry trends, overall market growth rates, our growth strategies, the continued growth of addressable markets for our products and solutions, our business plans and strategies, the proposed acquisition of certain Battle Bridge assets, including, without limitation, our ability to trade successfully and to finalize a purchase agreement governing the terms of such acquisition, the structure of the transaction, the timing of the transaction, as well as the valuation and success of the businesses after completion of the transaction, if any, and other risks described in the Company’s prior press releases and filings with the Securities and Exchange Commission (SEC), including its annual report on Form 10-K and any subsequent public filings, and documents filed under Canadian securities laws which are available at www.sedar.com, including under the heading “Risk Factors” in the Canadian Prospectus of the society.
Logiq undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. New factors emerge from time to time, and it is not possible for Logiq to predict all of them, or to assess the impact of each of these factors or the extent to which any one factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statement. All forward-looking statements contained in this press release are expressly qualified in their entirety by this cautionary statement.
Brent Suen, General Manager
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