Ackroo signs definitive agreement to acquire all of the assets of US loyalty provider Simpliconnect
December 12, 2022 08:00 ET | Source: Ackroo Inc.
HAMILTON, Ontario, Dec. 12, 2022 (GLOBE NEWSWIRE) — Ackroo Inc. (TSX-V: AKR; OTC: AKRFF) (the “Company”), a loyalty marketing, payments and point-of-sale technology and services provider, is pleased to announce that it has signed a definitive asset purchase agreement, dated December 9, 2022, with Simpliconnect, Inc. (“Simpliconnect”). Simpliconnect is a US based SaaS provider focused on driving client engagement for small to medium sized convenience store and petroleum chains, specifically focused on chains with 2-100 sites/locations. Simpliconnect currently has more than 60 clients across over 350 locations generating approximately $1,000,000 USD in annual revenues. The transaction represents Ackroo’s twelfth acquisition to date and is expected to close on January 1st, 2023.
“We are thrilled to be adding Simpliconnect’s customers, technology and team to Ackroo,” commented Steve Levely, CEO of Ackroo. “As we continue to focus on consolidating our industry further expansion into our AckrooMKTG business, especially in markets like the United States, are key parts of our strategic plans. Their focus on 2 – 100 locations merchants in segments like convenience and petroleum are sweet spots for Ackroo making it a great client match for us. Their platform being strong in areas like mobile, their rules engine and various integrations will help advance Ackroo’s technology while Ackroo’s self-serve program console, reporting engine and feature set including gift card and promo’s will be a great enhancement for Simpliconnect merchants. We will also be adding talent through the acquisition as the owner Brent will be joining Ackroo to lead our US sales efforts while other key staff will integrate and help advance Ackroo in other areas. Simpliconnect also leverages outsourced engineering teams to help advance their technology which is one of the strategic plans for Ackroo to explore in 2023. It is for all of these reasons and more that I am really excited to integrate and expand our business together.”
Total consideration for the acquisition will be (US)$2,000,000, which will be satisfied through the issuance of 5,625,000 common shares, issuable at a deemed price of C$0.12 per share, along with a cash payment of (US)$750,000 on closing and a further six monthly cash payments of (US)$125,000 commencing on July 1, 2023. The Company is at arms-length from Simpliconnect, and no finders’ fees or commissions will be paid in connection with completion of the acquisition. All common shares issued to Simpliconnect will be subject to statutory resale restrictions in accordance with applicable securities laws. Completion of the acquisition remains subject to the satisfaction of customary closing conditions, including the approval of the TSX Venture Exchange.
Founded in 2019, Simpliconnect is located in Bloomington, Minnesota and services convenience store and petroleum brands across 35+ states across the United States. The company is a SaaS provider focused on driving client engagement for small to medium sized merchants, specifically focusing on chains with 2-100 sites/locations. Simpliconnect offers a powerful and customizable loyalty management system, including mobile apps for their merchants. For more information, visit: www.simpliconnect.com.
Through vendor and industry consolidation, Ackroo provides marketing, payment and point-of-sale solutions for merchants of all sizes. Ackroo’s self-serve, data driven, cloud-based marketing platform helps merchants in-store and online process and manage loyalty, gift card and promotional transactions at the point of sale. Ackroo’s payment services provide merchants with low-cost payment processing options through some of the world’s largest payment technology and service providers. Ackroo’s hybrid management and point-of-sale solutions help manage and optimize the general operations for niche industry’s including golf clubs, automotive dealers and more. All solutions are focused on helping to consolidate, simplify and improve the merchant marketing, payments and point-of sale ecosystem for their clients. Ackroo is headquartered in Hamilton, Ontario, Canada. For more information, visit: www.ackroo.com.
For further information, please contact:
Chief Executive Officer | Ackroo
Tel: 416-360-5619 x730
The TSX Venture Exchange has neither approved nor disapproved the contents of this press release. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward Looking Statements
This release contains forecasts and forward-looking statements that are not guarantees of future performance and activities and are subject to risks and uncertainties. The Company has based these forward-looking statements on assumptions and assessments made by its management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. Important factors that could cause actual results, developments and business decisions to differ materially from those anticipated in these forward-looking statements include, but are not limited to: the Company’s ability to raise enough capital to support the Company’s go forward plans; the overall global economic environment; the impact of competition and new technologies; general market, political and economic conditions in the countries in which the Company operates; projected capital expenditures and liquidity; changes in the Company’s strategy; government regulations and approvals; changes in customers’ budgeting priorities; plus other factors that may arise. Any forward-looking statements in this press release are made as of the date hereof, and the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.