Signing Day Sports to Acquire Swifty Global in Strategic Technology Merger
TL;DR
Signing Day Sports Inc. acquires 99.13% of Dear Cashmere Group Holding Company, aiming to dominate high-growth markets in the sports betting sector.
The acquisition involves Swifty Global becoming a subsidiary of Signing Day Sports, with financial integration and consolidation of operations.
The collaboration between Swifty Global and Signing Day Sports aims to drive innovation, enhance user experience, and expand into emerging global markets.
Swifty Global's cutting-edge SaaS technology will reduce costs by over 50% and accelerate product development, leading to increased user growth and new revenue opportunities.
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Signing Day Sports Inc. has announced a significant strategic acquisition of Swifty Global, a cutting-edge technology firm specializing in sports betting solutions. Under the terms of the Stock Purchase Agreement (SPA), Signing Day Sports will acquire 99.13% of Swifty Global's issued and outstanding capital stock from its controlling shareholders.
The merger represents a strategic move to leverage Swifty Global's robust technological infrastructure and strong financial performance. In the fiscal year ending December 31, 2023, Swifty Global reported revenues exceeding $128 million and a net profit of approximately $2.44 million, despite substantial investments of nearly $3.1 million in software development and licensing.
Daniel Nelson, CEO of Signing Day Sports, highlighted the transaction's potential to drive operational efficiency and market expansion. The companies anticipate reducing costs by over 50% and accelerating product development through the merger. The combined entity aims to increase user growth, retention, and explore new revenue opportunities, with a particular focus on emerging markets in Europe, Africa, and the Middle East.
Following the acquisition, Swifty Global will operate as a subsidiary of Signing Day Sports, with its financial results fully integrated into the company's operations. James Gibbons, current CEO of Swifty Global, will become the CEO of Signing Day Sports and join its board of directors.
The transaction involves complex financial arrangements, including the issuance of common and preferred stock. Signing Day Sports' legacy shareholders are expected to retain approximately 8.24% of the post-transaction company's shares, with the remaining 91.76% issued to the sellers and other stockholders.
Both companies plan to raise at least $2.0 million in financing to support operations and address outstanding liabilities. The merger is subject to various conditions, including Nasdaq approval and stockholder consent, with a planned trading commencement on the Nasdaq exchange.
This strategic merger represents a significant milestone for both Signing Day Sports and Swifty Global, positioning them for accelerated growth and technological innovation in the competitive sports betting and technology landscape.
Curated from NewMediaWire
