Labwire, Inc. (OTC: LBWR) Announces Non-Binding LOI to Acquire Assure Media, LLC, a Leading High-Growth Lead Generation Technology Company Focused on Financial, Legal, and Home Services

Rhea-AI Summary

Labwire announces signing a non-binding LOI to acquire Assure Media for $4,000,000. Labwire will fund the acquisition through a debt offering and profit-sharing payment structure. The acquisition is expected to increase Labwire's annual revenue by 525% and achieve a consolidated profit of $1 million to $1.5 million. Labwire's strategic move aligns with the remarkable growth in the lead generation industry.

Positive

• Labwire to acquire Assure Media for $4,000,000, expecting a 525% increase in annual revenue.
• Consolidated profit estimated to be $1 million to $1.5 million with the addition of new verticals.

Negative

• None.

Labwire Appoints Fernhill Corp's Management Team (OTC: FERN) to Drive M&A Transactions and Ongoing Operational Consulting Services

PHOENIX, AZ / ACCESSWIRE / September 26, 2023 / Labwire, Inc. (OTC PINK:LBWR), a dynamic force in the technology sector, proudly unveils a significant milestone in its growth strategy. Today, the company announces signing a non-binding Letter of Intent (LOI) to acquire Assure Media, LLC, a leading high-growth lead generation technology company specializing in the financial, legal, and home services sectors. Under the terms of the agreement, Labwire is set to acquire 100% ownership of Assure Media for a total consideration of $4,000,000. The acquisition will be funded through a strategic combination of a debt offering and an innovative profit-sharing ("earn-out") payment structure. To ensure a smooth transition and successful post-acquisition operations, Labwire has enlisted the management team from Fernhill Corp.

Labwire's strategic move comes at a pivotal moment in the lead generation industry. Performance Marketing and Lead Generation Firms are experiencing remarkable growth, serving businesses across diverse sectors, particularly those seeking effective outbound sales solutions and enhanced customer exposure. Google trend data shows a consistent rise in searches for the term "affiliate marketing," peaking at 100% in 2021. The Pay-per-call/Performance Marketing sector, a key component of the lead generation industry, has evolved into a global multibillion-dollar enterprise, with the U.S. commanding a significant share of the worldwide affiliate marketing market at 39%. The industry's value is projected to climb from $13+ billion to nearly $16 billion by 2024, underscoring its critical role in modern business strategies.

Assure Media, Labwire's acquisition target, was founded in May 2020 and has rapidly ascended to achieve impressive financial results, with $22.2 million in revenue and $3.3 million in operating income. Over the past twelve months, the company has maintained its growth trajectory, reporting $8.7 million in revenue and $1.2 million in operating income. By incorporating seasoned executives, Assure Media is well-positioned to expand its existing business lines and seamlessly venture into new verticals.

The company boasts an impressive roster of over 350 verified and experienced publishers and affiliates, reflecting its expertise in diversifying into various verticals, including consumer products and educational services. Leveraging its proprietary marketplace platform and advanced tracking technology, Assure Media delivers carefully curated leads to both local businesses and national brands.

The anticipated closing date for this transformative deal is scheduled for on or before October 31st.

The management team at Assure Media, expressed their enthusiasm, stating, "Over the past 12 months, several major technology companies approached us for acquisition as their digital marketing engine. While they were appealing, we didn't perceive a strong synergy or a long-term vision benefiting both companies. During due diligence, we recognized the potential of Labwire's strong relationships with top executives across industries, which positions us to instantly generate additional revenue and profitable cash flow. Our entire team is thrilled to collaborate directly with Labwire."

Shin Hwang, President & CEO of Labwire, also shared his excitement, saying, "Labwire has been searching for a strategic partner who understands our niche and can create value. Assure Media's expertise in lead generation aligns perfectly with our long-term vision of preparing the company for the next stage. With this strategic acquisition, Labwire can elevate any small local business with excellent products and services into a national brand, which has been our vision since I joined Labwire. We deeply appreciate Assure Media for providing detailed information during our due diligence and engaging in additional meetings for synergistic and strategic discussions. Through these meetings, our combined expertise has already outlined the creation of a new vertical within a month of the acquisition."

This strategic move is set to turbocharge Labwire's operational capabilities:

1. Annual Revenue Surge: Excluding potential synergies, Labwire anticipates an astonishing 525% increase in annual revenue, skyrocketing from $1.6 million to a projected $10.0 million. With new verticals introduced by Labwire, the consolidated company may experience annual revenue growth ranging from 50% to 100% within 12 months of completion.

2. Profit Enhancement: The acquisition positions Labwire to achieve a consolidated profit in the range of $1 million to $1.5 million. With the addition of new verticals, the company could see its profit grow by 100% to 300%, driven by the scalability and interchangeability of the underlying technology.

Shin Hwang concluded, "In my 20+ years in hedge funds, technology start-ups, and digital marketing, I have not encountered such an exceptional team where everyone shares the same goal. Assure Media possesses an intangible asset that cannot be replicated. I am extremely excited about this next phase of Labwire."

About Assure Media

Assure Media (https://www.assuremedia.io) is a well-established Performance Marketing Agency with a diverse client base, including advertisers and publishers who rely on them for lead generation and customer growth. The company has a 70% customer renewal rate, indicating its reliability and industry authority. They've experienced significant growth, especially in the insurance industry, with 350+ approved publishers and affiliates, achieving 400% year-over-year growth. Their expert team manages daily operations efficiently, allowing the company to expand its verticals to many new opportunities. Assure Media is poised for rapid scaling, expanding into new verticals like financial, legal, and home services, and using digital marketing tools to grow its customer base. Their use of cutting-edge technology ensures high customer loyalty, recurring revenues, and substantial growth prospects, particularly in the eCommerce sector.

About Labwire

Labwire (https://www.labwire.co) is an early-stage specialty retailer committed to revolutionizing the discount retail industry through innovation and cutting-edge technology. With a strong focus on rebranding, financing, and operational efficiencies, Labwire is poised to redefine the retail landscape. Labwire's flagship brand, Super 99 Centers, offers customers an exceptional shopping experience with a wide range of high-quality products at unbeatable prices.

For more information, please contact:

Media Relations

Labwire, Inc.
Phone: 1 (928) 719-7747
Email: labwireinvestors@gmail.com
Website: www.labwire.co

Forward-Looking Statements

This press release contains "forward-looking statements" 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 any such forward-looking statements. Except for historical information, statements about future volumes, sales, growth, costs, cost savings, margins, earnings, earnings per share, diluted earnings per share, cash flows, plans, objectives, expectations, growth or profitability are forward-looking statements based on management's estimates, beliefs, assumptions and projections. Words such as "could," "may," "expects," "anticipates," "will," "targets," "goals," "projects," "intends," "plans," "believes," "seeks," "estimates," "predicts," and variations on such words, and similar expressions that reflect our current views with respect to future events and operational, economic and financial performance, are intended to identify such forward-looking statements. These forward-looking statements are only predictions, subject to risks and uncertainties, and actual results could differ materially from those discussed. Important factors that could affect performance and cause results to differ materially from management's expectations or could affect the company's ability to achieve its strategic goals.

The company's forward-looking statements in this press release are based on management's current views, beliefs, assumptions and expectations regarding future events and speak only as of the date of this release. 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 the federal securities laws.

SOURCE: Labwire, Inc.

View source version on accesswire.com:
https://www.accesswire.com/787314/labwire-inc-otc-lbwr-announces-non-binding-loi-to-acquire-assure-media-llc-a-leading-high-growth-lead-generation-technology-company-focused-on-financial-legal-and-home-services