Acquires Leading Gamified Fitness Company
Sydney, Mar 5, 2021 AEST (ABN Newswire) - Digital health and fitness company OliveX Holdings Limited (
NSX:OLX) is pleased to advise that it has entered into a share purchase agreement (the Acquisition) for the acquisition of 100% of the issued shares of UK company Six to Start Limited (Six to Start) for an initial cash and share consideration equivalent to US$6,650,000 (~ A$8,482,000) and deferred, performance based, consideration in cash and shares of up to US$2,850,000 (~ A$3,635,000).
The key terms of the Acquisition are set out in the Schedule to this release.
Six to Start is an award-winning UK-based game developer and fitness technology company which creates immersive and motivating smartphone audio stories and gaming experiences including Zombies, Run!, the Walk, and Zombies, Run! 5k.
Zombies, Run! is the world's leading gamified health and fitness app with an average 300,000 active users per month, approximately 50,000 paid subscription users, and a digital fitness platform with augmented reality capabilities that have been recognised as best in class.
Six to Start's gamification assets include intellectual property, content creation and distribution channels that are strategically important to OliveX as it continues to commercialise the KARA Smart Fitness mirror.
As part of the Acquisition, Adrian Hon, CEO and founder of Six to Start will become Chief Innovation Officer at OliveX whilst continuing in his role as Executive Director of Six to Start - further driving the growth of Six to Start and the execution of the Company's innovation strategy.
In relation to the Acquisition, Keith Rumjahn, CEO of OliveX said:
"At OliveX we're passionate about making fitness fun, and that's exactly what Six to Start does. With average revenues per paid subscriber exceeding GBP25 a year, and with real growth potential, Six to Start will bring immediate value to OliveX. Most importantly though we see enormous benefit in their global, loyal, subscriber base and the team's product design and monetisation expertise."
Adrian Hon, CEO of Six to Start said:
"Six to Start, has built a strong business model and a huge subscriber base of loyal users for our apps including Zombies, Run!, and our growth strategy is a perfect fit with OliveX's. We've both created innovative, game-changing technology that when combined will really advance the future of digital fitness, making the OliveX suite of products and solutions truly world-leading. I'm incredibly excited to join OliveX as Chief Innovation Officer, and I'm really looking forward to what lies ahead."
OliveX intends to undertake a capital raising to raise a minimum of A$6,000,000 (before costs) in the coming days which will fund its initial cash obligations under the Acquisition and provide additional working capital. In addition, OliveX has notified NSX under Listing Rule 6.41 in relation to the Acquisition and will hold a meeting of shareholders in due course to obtain any necessary shareholder approvals required by NSX (including in relation to the issue of shares and performance rights under the Acquisition).
About Six to Start
Six to Start is an independent game developer based in London, specialising in story-like games and game-like stories. Their latest games include Zombies, Run!, the world's bestselling smartphone fitness app, and The Walk, the first smartphone fitness game funded by the UK's Department of Health.
Six to Start was founded in 2007developing games involving millions of players for Channel 4, the BBC, and Muse, along with cutting-edge fiction for Penguin and Macmillan. The company also conducts research and development for companies including Disney Imagineering, Microsoft, and the British Museum.
About OliveX Holdings Limited
OliveX (NSX:OLX) is a digital health and fitness company selling innovative products and applications to deliver a unique user experience using artificial intelligence, gamification and premium content. With its flagship product the KARA Smart Fitness Mirror and associated subscription-based applications, OliveX provides a platform that links and engages consumers with brands, influencers and fitness coaches and that enables any space to become a personal fitness studio. OliveX has a market reach that spans over 170 countries.
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