HENDERSON, NV, Aug. 02, 2022 (GLOBE NEWSWIRE) — via
NewMediaWire
– Grove, Inc. (GRVI) Upexi, wholly owned division of Grove, Inc., has signed a non-binding LOI to acquire E-Core, Inc and its brand subsidiaries, including
New England Technology, Inc
., and
Tytan Tiles
. The diversified business fits perfectly with the company’s brand acquisition strategy and its recently acquired, Cygnet Online business.
E-Core’s Tytan Tile brand is available at multiple big box retailers and online stores. The company is a great match for Grove’s brand strategy and management believes the team should be able to boost sales with an anticipated new Amazon launch and eCommerce advertising campaign upon closing.
NETi has seen growth over the previous year with $35+ million in TTM revenues and represents a significant increase to Grove’s current run rate and forecast.
Grove plans to fund this acquisition without an additional equity offering. The shareholder-friendly structured deal uses debt, restricted equity, and payouts in subsequent years based on revenue and EBITDA milestones.
Grove intends to continue to expand outside the CBD space and to focus on the larger market opportunities in brands, SaaS programmatic advertising technology and its growing reseller and liquidation businesses for both Amazon and direct to consumer markets.
CEO Allan Marshall commented, “Successfully closing this acquisition should put us on target for accelerating revenue and EBITDA in 2023 above our previously announced estimates. Synergies between NETi and our current business will provide scale and additional growth opportunities. The name change is part of our expanding business and the exciting opportunities we have in the pipeline.”
Grove and E-Core anticipate that the transaction will close in August 2022.
About Grove, Inc.
Grove, Inc. is an innovator in aggregation, accelerating Amazon and eCommerce businesses by combining consumer data and vertical integration to scale brands in multiple industries, while lowering costs with a growing distribution network. Through strategic acquisitions, Grove continues to expand into numerous consumer markets, and utilizes its in-house, SaaS programmatic ad technology to help achieve a lower cost per acquisition and accumulate consumer data for increased cross-selling between its growing portfolio of brands.
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