Sysorex Provides Update on Strategic Transaction
Sysorex, Inc. (OTCQB: SYSX) announced plans to sell certain assets in exchange for equity valued significantly higher than its current market capitalization. Following a reverse merger with TTM Digital Assets, Sysorex has seen a substantial gross revenue increase and has expanded its asset portfolio, including GPUs and an NFT marketplace investment. CEO Wayne Wasserberg emphasized the need to unlock shareholder value through this transaction, expected to close in late February or early March. However, success is not guaranteed.
- Substantial increase in gross revenue post-reverse merger.
- Expansion of asset portfolio, including GPUs and NFT marketplace.
- Transaction aims to unlock shareholder value.
- Stock continues to trade below the perceived value of the business.
- Uncertainty regarding the successful closing of the transaction.
HERNDON, Va., Feb. 10, 2022 (GLOBE NEWSWIRE) -- Sysorex, Inc. (OTCQB: SYSX), a data center owner/operator centered on Ethereum mining and blockchain technology applications, and provider of goods and services pursuant to contracts with US Government agencies, today announced that it plans to sell certain assets to another company in exchange for equity valued significantly higher than the Company's market capitalization.
“Following Sysorex’s reverse merger with TTM Digital Assets & Technologies, Inc. last year, Sysorex has experienced a substantial increase in gross revenue, and its prospects for future revenue generation and growth are solid. The Company has also increased its asset portfolio of GPUs, completed the acquisition of its datacenter, and closed a strategic investment in an NFT marketplace. Yet, our common stock continues to trade at prices well below the value the business actually holds. Therefore, we believe the best course of action is to advance this transaction, which is designed to unlock value for shareholders,” said Wayne Wasserberg, chief executive officer of Sysorex.
Sysorex, in making this announcement, notes that there can be no assurance that the anticipated transaction will result in a closing but expects that the transaction will close later this month or in early March.
ABOUT SYSOREX, INC.
Sysorex, Inc. (“Company”) is a data center owner and operator and is one of the largest U.S.-based, publicly traded Ethereum mining and blockchain technology companies. The Company currently owns and operates thousands of NVIDIA Graphics Processing Units (“GPUs”), as well as hundreds of specialized Cryptocurrency Mining Processors (“CMPs”) (collectively, “GPUs”). These GPUs are currently online and securing the Ethereum blockchain and generating ETH around the clock with industry leading efficiency. In addition to the mining of Ethereum, the Company continues to operates its wholly-owned subsidiary, Sysorex Government Services, Inc. (“SGS”), a business that provides information technology products, solutions and services to federal, state, and local government, including system integrators.
Sysorex Contacts
Investor Relations:
Crescendo Communications, LLC
Tel: +1 212-671-1020
Email: SYSX@crescendo-ir.com;
ir@ttmdigitalassets.com
Safe Harbor Statement
All statements in this release that are not based on historical fact are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and the provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. While management has based any forward-looking statements included in this release on its current expectations, the information on which such expectations were based may change. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of risks, uncertainties and other factors, many of which are outside of the control of Sysorex and its subsidiaries, which could cause actual results to materially differ from such statements. Such risks, uncertainties, and other factors include, but are not limited to, the process in which it engages to evaluate strategic alternatives; the terms, timing, structure, benefits and costs of any strategic transaction and whether one will be consummated at all; the impact of any strategic transaction on the company; the fluctuation of economic conditions; the impact of COVID-19 on Sysorex’s results of operations and global supply chain constraints; Sysorex’s ability to integrate the products and business from recent acquisitions into its existing business and effectively manage the growth from such acquisitions; the performance of management and employees; the outcomes of any litigation, regulatory proceedings, inquiries or investigations that we may be subject to; the ability to obtain financing as needed; competition; general economic conditions and other factors that are detailed in Sysorex’s periodic and current reports available for review at sec.gov. Furthermore, Sysorex operates in a highly competitive and rapidly changing environment where new and unanticipated risks may arise. Accordingly, investors should not place any reliance on forward-looking statements as a prediction of actual results. Sysorex disclaims any intention to, and undertakes no obligation to, update or revise forward-looking statements.
FAQ
What asset sale is Sysorex planning?
When does Sysorex expect the asset transaction to close?
What has led to the increase in Sysorex's revenue?
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