SMX and Ybyra Capital Announce Heads of Agreement, Setting Stage for Merger of Companies
SMX and Ybyra Capital have signed a non-binding Heads of Agreement for a potential merger, aiming to combine SMX's digital traceability technologies with Ybyra's asset base in South America. The merger, targeting completion in first half 2025, involves Ybyra contributing fertilizer holdings and real estate assets to a new Irish company owned by SMX, with Ybyra shareholders receiving SMX shares in exchange.
The combined entity aims to integrate SMX's marking, tracking, and certification capabilities with Ybyra's logistics and commodity infrastructure, focusing on products like coffee, tea, metals, palm oil, and natural rubber. The merger seeks to capitalize on South America-Asia trade opportunities, enhancing supply chain transparency and accountability.
The agreement requires further due diligence, regulatory and shareholder approvals, and definitive merger documents, with no assurance of completion.
SMX e Ybyra Capital hanno firmato un Heads of Agreement non vincolante per una potenziale fusione, con l'obiettivo di combinare le tecnologie di tracciabilità digitale di SMX con la base di asset di Ybyra in America del Sud. La fusione, prevista per il completamento nella prima metà del 2025, prevede che Ybyra contribuisca con partecipazioni nei fertilizzanti e beni immobili a una nuova società irlandese di proprietà di SMX, con gli azionisti di Ybyra che riceveranno azioni di SMX in cambio.
L'entità risultante punta a integrare le capacità di marcatura, tracciamento e certificazione di SMX con l'infrastruttura logistica e delle merci di Ybyra, concentrandosi su prodotti come caffè, tè, metalli, olio di palma e gomma naturale. La fusione mira a capitalizzare le opportunità commerciali tra Sud America e Asia, migliorando la trasparenza e la responsabilità della catena di approvvigionamento.
L'accordo richiede ulteriori verifiche, approvazioni regolatorie e degli azionisti, e documenti definitivi di fusione, senza alcuna garanzia di completamento.
SMX y Ybyra Capital han firmado un Heads of Agreement no vinculante para una posible fusión, con el objetivo de combinar las tecnologías de trazabilidad digital de SMX con la base de activos de Ybyra en América del Sur. La fusión, que se espera completar en la primera mitad de 2025, implica que Ybyra contribuya con participaciones en fertilizantes y activos inmobiliarios a una nueva empresa irlandesa propiedad de SMX, con los accionistas de Ybyra recibiendo acciones de SMX a cambio.
La entidad combinada pretende integrar las capacidades de marcado, seguimiento y certificación de SMX con la infraestructura logística y de productos básicos de Ybyra, enfocándose en productos como café, té, metales, aceite de palma y caucho natural. La fusión busca aprovechar las oportunidades comerciales entre América del Sur y Asia, mejorando la transparencia y la responsabilidad en la cadena de suministro.
El acuerdo requiere más diligencia debida, aprobaciones regulatorias y de los accionistas, y documentos definitivos de fusión, sin ninguna garantía de finalización.
SMX와 Ybyra Capital는 잠재적인 합병을 위한 비구속적인 기본 합의서를 체결하였으며, 이는 SMX의 디지털 추적 기술과 Ybyra의 자산을 남미에서 결합하는 것을 목표로 하고 있습니다. 2025년 상반기 완료를 목표로 하는 이번 합병은 Ybyra가 레딧인 비료 보유와 부동산 자산을 SMX 소유의 새로운 아일랜드 회사에 기여하고, Ybyra 주주들은 SMX 주식을 대가로 받게 됩니다.
결합된 기업은 SMX의 표시, 추적 및 인증 능력을 Ybyra의 물류 및 원자재 인프라와 통합하는 것을 목표로 하며, 커피, 차, 금속, 항아리 오일 및 천연 고무와 같은 제품에 초점을 맞추고 있습니다. 이번 합병은 남미-아시아 간의 무역 기회를 활용하여 공급망 투명성과 책임성을 향상시키려는 목적을 가지고 있습니다.
본 계약은 추가적인 실사, 규제 및 주주 승인, 그리고 최종 합병 문서가 필요하며, 완료에 대한 보장은 없습니다.
SMX et Ybyra Capital ont signé un accord de principe non contraignant pour une éventuelle fusion, visant à combiner les technologies de traçabilité numérique de SMX avec la base d'actifs de Ybyra en Amérique du Sud. La fusion, prévue pour être complétée dans la première moitié de 2025, implique que Ybyra apporte des participations dans les engrais et des actifs immobiliers à une nouvelle société irlandaise détenue par SMX, les actionnaires de Ybyra recevant des actions de SMX en échange.
La nouvelle entité vise à intégrer les capacités de marquage, de suivi et de certification de SMX avec l'infrastructure logistique et des matières premières de Ybyra, en se concentrant sur des produits tels que le café, le thé, les métaux, l'huile de palme et le caoutchouc naturel. La fusion cherche à tirer parti des opportunités commerciales entre l'Amérique du Sud et l'Asie, améliorant la transparence et la responsabilité de la chaîne d'approvisionnement.
L'accord nécessite des vérifications supplémentaires, des approbations réglementaires et des actionnaires, ainsi que des documents de fusion définitifs, sans aucune garantie de réalisation.
SMX und Ybyra Capital haben eine unverbindliche Grundsatzvereinbarung für eine potenzielle Fusion unterzeichnet, mit dem Ziel, die digitalen Rückverfolgbarkeitstechnologien von SMX mit der Vermögensbasis von Ybyra in Südamerika zu kombinieren. Die Fusion, die bis zur ersten Hälfte von 2025 abgeschlossen sein soll, sieht vor, dass Ybyra seine Beteiligungen an Düngemitteln und Immobilien in ein neues, von SMX betriebenes irisches Unternehmen einbringt, während die Ybyra-Aktionäre im Gegenzug SMX-Aktien erhalten.
Die fusionierte Einheit beabsichtigt, die Markierungs-, Verfolgungs- und Zertifizierungsfähigkeiten von SMX mit der Logistik- und Rohstoffinfrastruktur von Ybyra zu integrieren, wobei der Fokus auf Produkten wie Kaffee, Tee, Metallen, Palmöl und Naturkautschuk liegt. Das Ziel der Fusion besteht darin, Handelsmöglichkeiten zwischen Südamerika und Asien auszuschöpfen und die Transparenz und Verantwortlichkeit in der Lieferkette zu verbessern.
Die Vereinbarung erfordert weitere Due-Diligence-Prüfungen, regulatorische und Aktionärsfreigaben sowie endgültige Fusionsdokumente, ohne dass eine Garantie für den Abschluss besteht.
- Strategic expansion into South American and Asian markets
- Integration of SMX's technology with Ybyra's existing infrastructure and assets
- Access to multi-trillion-dollar global trade market opportunities
- Potential for rapid scaling of traceability solutions
- Non-binding agreement with no guarantee of completion
- Subject to regulatory and shareholder approvals
- Extended completion timeline (first half 2025)
- Requires further due diligence and definitive agreements
Insights
The proposed merger between SMX and Ybyra Capital presents an intriguing strategic opportunity, though it comes with significant execution risks. The non-binding nature of the agreement and lack of concrete valuation details warrant caution. The deal's structure, involving asset contribution to an Irish company and a share swap, adds complexity that could impact existing shareholders.
The strategic rationale focuses on combining SMX's traceability technology with Ybyra's physical assets in South America, particularly in fertilizers and commodities. While this vertical integration could create value through enhanced supply chain transparency, the success heavily depends on successful technology integration and market adoption.
The targeted completion in H1 2025 suggests a lengthy process ahead, with multiple regulatory hurdles and shareholder approvals required. Given SMX's micro-cap status (
The technological synergy proposed in this merger has significant potential but faces substantial implementation challenges. SMX's blockchain-based traceability solutions, focusing on material efficiency and equilibrium effect, would need extensive adaptation to integrate with Ybyra's physical infrastructure. The success of this integration across multiple commodity types (coffee, tea, metals, palm oil, rubber) requires sophisticated customization and scalability considerations.
The platform's expansion into South America and Asia would demand robust infrastructure development and significant technical resources. While the concept of enhancing supply chain transparency through blockchain is promising, the practical aspects of deploying this technology across diverse geographical locations and commodity types present complex technical hurdles. The absence of specific technical implementation details or timeline raises questions about execution feasibility.
NEW YORK, NY and SÃO PAULO, BRAZIL / ACCESSWIRE / December 6, 2024 / SMX (Security Matters) PLC (NASDAQ:SMX)(NASDAQ:SMXWW), a pioneer in digitizing physical objects for circular economies, and Ybyra Capital (B3:YBRA4), an emerging holding company focused in commodities and real estate development in South America, has signed a non-binding Heads of Agreement. This Heads of Agreement sets the initial foundation for a potentially transformative merger, which upon completion would combine SMX's advanced digital platform traceability technologies with Ybyra's asset base and operational infrastructure, to create synergies to drive transparent and accountable global trade.
The merger, as contemplated in the Heads of Agreement and approved in principle by Ybyra Capital's shareholders on 5 December 2024, sets forth a strategic framework expected to position SMX to leverage synergies and expand into untapped high-growth markets.
Key Highlights of the Heads of Agreement
Asset Contribution and Valuation- Ybyra Capital will contribute certain fertilizer holdings, real estate assets and other assets in Brazil to a newly created Irish private company wholly owned by SMX. An independent appraiser will establish the valuation of these assets.
Share Swap Structure- Ybyra shareholders will receive shares in SMX in exchange for the contributed assets.
Definitive Shareholder Meeting- SMX and Ybyra will each call a special shareholder meeting to approve the transactions, after finalizing definitive and binding agreements.
Projected Completion Date- The parties are targeting the first half of 2025 to close the merger.
Strategic Synergies and Market Opportunities
The merger is expected to allow the harnessing of SMX's expertise known as "material efficiency" and "equilibrium effect" in marking, tracking, and certifying the authenticity and provenance of products such as coffee, tea, metals, palm oil, and natural rubber. These capabilities will integrate with Ybyra Capital's logistics and commodity infrastructure-including fertilizer facilities-enabling rapid scaling of SMX's traceability solutions across South America and Asia.
SMX's scalable technology, after deployment across Ybyra's logistics network, is expected to be then expanded into operations across South America and Asia, unlocking exponential growth potential.
The combined entity further intends to set new standards in sustainable and ethical certification for commodities traded between South America and the United States, targeting evolving market demands and global sustainability goals in those regions.
SMX said, "We believe this combination represents a transformative step in global trade. By integrating our advanced traceability technologies with Ybyra Capital's strategic infrastructure in South America, we would be establishing a new benchmark for supply chain transparency and accountability. We believe that, together, we can empower industries to achieve measurable sustainability milestones while efficiently connecting resource-rich regions with high-demand markets."
Mr. Tiago Moura e Silva, President and CEO of Ybyra Capital, added: "Our collaboration with SMX is expected to creates a powerful synergy, linking South America's vast natural resources with Asia's growing demand. I believe this merger prioritizes efficiency, transparency, and sustainability, ensuring that every stage of the supply chain adds value and upholds the highest ethical standards."
Serving A Need in South America-Asia Trade
SMX and Ybyra expect that the combined company will capitalize on the accelerating trade between South America and Asia, driven by rising demand for natural resources and the need for solutions that provide real-time information related to product sourcing, transparency, and regard to sustainable supply chain trade. SMX also expects that by combining its innovative blockchain technology with Ybyra's strategic assets and logistical expertise, the emerging entity will provide a scalable infrastructure that facilitates efficient, accountable, and transparent global trade. This platform is expected to enhance shareholder value by monetizing demand inherent to a multi-trillion-dollar global trade market.
The non-binding Heads of Agreement provides a roadmap, including the need for further due diligence, regulatory and shareholder approvals, and drafting of definitive merger documents. The parties cannot at this time give any assurance that definitive documents will be executed or delivered, that both companies will satisfy all expected closing conditions, including stockholder approvals, or that the transaction will ever be consummated.
For further information contact:
SMX GENERAL ENQUIRIES | Follow us through our social channel @secmattersltd |  |
@smx.tech |  |
About SMX
SMX specializes in advanced marking, tracking, and verification solutions, ensuring product authenticity and supply chain transparency across industries. As global businesses face new and complex challenges relating to carbon neutrality and meeting new governmental and regional regulations and standards, SMX is able to offer players along the value chain access to its marking, tracking, measuring and digital platform technology to transition more successfully to a low-carbon economy
About Ybyra Capital
Founded in 1997 and headquartered in Rio de Janeiro, Brazil, Ybyra Capital is a diversified holding company specializing in fertilizers and real estate. With a strong operational focus on South America, the company plays a pivotal role in connecting the region's natural resources to global markets.
As a public company traded on the B3 Exchange under the ticker symbol YBRA4, Ybyra Capital operates within the Specialized Finance sector, leveraging its expertise and assets to drive sustainable growth and deliver value to its stakeholders.
Forward-Looking Statements
The information in this press release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, statements regarding expectations, hopes, beliefs, intentions or strategies regarding the future. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The words "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "forecast," "intends," "may," "will," "might," "plan," "possible," "potential," "predict," "project," "should," "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements in this press release may include, for example: the successful completion of the planned merger transaction with Ybyra on terms beneficial to SMX or at all; successful launch and implementation of SMX's joint projects with manufacturers and other supply chain participants of steel, rubber and other materials; changes in SMX's strategy, future operations, financial position, estimated revenues and losses, projected costs, prospects and plans; SMX's ability to develop and launch new products and services, including its planned Plastic Cycle Token; SMX's ability to successfully and efficiently integrate future expansion plans and opportunities; SMX's ability to grow its business in a cost-effective manner; SMX's product development timeline and estimated research and development costs; the implementation, market acceptance and success of SMX's business model; developments and projections relating to SMX's competitors and industry; and SMX's approach and goals with respect to technology. These forward-looking statements are based on information available as of the date of this press release, and current expectations, forecasts and assumptions, and involve a number of judgments, risks and uncertainties. Accordingly, forward-looking statements should not be relied upon as representing views as of any subsequent date, and no obligation is undertaken to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. As a result of a number of known and unknown risks and uncertainties, actual results or performance may be materially different from those expressed or implied by these forward-looking statements. Some factors that could cause actual results to differ include: the ability to maintain the listing of the Company's shares on Nasdaq; changes in applicable laws or regulations; any lingering effects of the COVID-19 pandemic on SMX's business; the ability to implement business plans, forecasts, and other expectations, and identify and realize additional opportunities; the risk of downturns and the possibility of rapid change in the highly competitive industry in which SMX operates; the risk that SMX and its current and future collaborators are unable to successfully develop and commercialize SMX's products or services, or experience significant delays in doing so; the risk that the Company may never achieve or sustain profitability; the risk that the Company will need to raise additional capital to execute its business plan, which may not be available on acceptable terms or at all; the risk that the Company experiences difficulties in managing its growth and expanding operations; the risk that third-party suppliers and manufacturers are not able to fully and timely meet their obligations; the risk that SMX is unable to secure or protect its intellectual property; the possibility that SMX may be adversely affected by other economic, business, and/or competitive factors; and other risks and uncertainties described in SMX's filings from time to time with the Securities and Exchange Commission.
SOURCE: SMX (Security Matters)
View the original press release on accesswire.com
FAQ
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