ALJJ - ALJJ STOCK NEWS

ALJ Regional Holdings, Inc. (NASDAQ: ALJJ) has completed the sale of its subsidiary, Phoenix Color Corp., to Lakeside Book Company. This transaction, valued at approximately $136.4 million, was finalized following stockholder approval on April 11, 2022. Phoenix, based in Hagerstown, Maryland, specializes in printing book components and children’s books. The sale is in line with ALJ's strategy, allowing it to focus resources on its core business operations, particularly through its subsidiary Faneuil, Inc., which provides various services to commercial and governmental clients.

ALJ Regional Holdings, Inc. (NASDAQ: ALJJ) has completed the sale of its tolling and transportation, and health benefit exchange verticals from its subsidiary, Faneuil, Inc., to TTEC Holdings, Inc. (NASDAQ: TTEC) for $142.3 million in cash, with the potential for an additional $25 million in earn-out payments. This transaction was finalized under an amended Asset Purchase Agreement from December 2021. Other verticals of Faneuil will continue to operate under ALJ, focusing on delivering customer experiences across diverse industries.

TTEC Holdings, Inc. (NASDAQ: TTEC) has successfully completed its acquisition of public sector citizen experience and smart city assets from Faneuil, Inc., a subsidiary of ALJ Regional Holdings (NASDAQ: ALJJ). This strategic move targets a total addressable market of approximately $19 billion in digital citizen experience solutions. TTEC aims to enhance service delivery for public sector clients, leveraging its technological capabilities and expertise. The integration is expected to bolster TTEC's Engage business segment, addressing increasing demand in areas such as mobility and health service delivery.

ALJ Regional Holdings (NASDAQ: ALJJ) reported a consolidated net revenue of $103.1 million for the first quarter ended December 31, 2021, a decrease of 7.2% from $111.1 million in the year-ago quarter. The company experienced a net loss from continuing operations of $9.4 million or ($0.22) per share, compared to a loss of $1.9 million or ($0.04) per share last year. Adjusted EBITDA fell 71% to $1.9 million. Despite challenges, revenues at Phoenix increased 12.5%.

ALJ expects significant gains from upcoming contract sales.

ALJ Regional Holdings, Inc. (NASDAQ: ALJJ) announced a definitive agreement for Lakeside Book Company to acquire Phoenix Color Corp., a wholly-owned subsidiary. The acquisition is set to enhance efficiency in the printing supply chain for publishing customers by combining Phoenix's capabilities with Lakeside's book manufacturing services. The deal is expected to close in Q2 2022, pending regulatory and stockholder approvals. This strategic move aims to streamline order processing and improve delivery speed.

ALJ Regional Holdings, Inc. (ALJJ) has agreed to sell the tolling and transportation and health benefit exchange segments of its subsidiary, Faneuil, Inc., to TTEC Holdings, Inc. (TTEC) for $140 million, subject to an indemnification escrow of $15 million. Additional earn-out payments of up to $25 million may also be received by Faneuil. The deal, aimed at enhancing customer experience capabilities, is expected to close in Q1 2022, pending regulatory approvals. Faneuil will retain its other verticals and continue operating as an ALJ subsidiary.

TTEC Holdings, Inc. (NASDAQ: TTEC) announced an agreement to acquire certain citizen experience and smart city assets from Faneuil, Inc., a subsidiary of ALJ Regional Holdings, Inc. (NASDAQ: ALJJ). This acquisition is a strategic move to enhance TTEC's capabilities in the public sector, particularly in delivering digital citizen experiences. TTEC aims to leverage its scale and expertise alongside Faneuil's local government insights to address growing opportunities in mobility, infrastructure, and healthcare. The transaction is expected to close in Q1 2022, pending regulatory approvals.

ALJ Regional Holdings, Inc. (NASDAQ: ALJJ) reported a 14.2% increase in consolidated net revenue to $111.7 million for Q4 2021, driven by higher production in healthcare and transportation. For the fiscal year 2021, net revenue rose 25.9% to $440.9 million. However, ALJ recorded a net loss from continuing operations of $3.6 million, an improvement from a $64.2 million loss in the previous year, primarily due to higher business activity at subsidiaries Faneuil and Phoenix. Looking ahead, ALJ estimates Q1 2022 revenue between $100 million and $105.5 million, down from $111.1 million year-over-year.

ALJ Regional Holdings (NASDAQ: ALJJ) reported Q3 2021 results with consolidated net revenue of $103.5 million, a 20.2% increase from Q3 2020. Net loss from continuing operations was $3.5 million, or $0.08 per share. The improvement in revenue was driven by Faneuil's new contracts in healthcare and transportation, and higher volumes at Phoenix. However, Faneuil faced challenges with certain state unemployment contracts, leading to ongoing losses. ALJ expects a decrease in revenue for Q4 2021, estimating $95.6 million to $100.5 million.