NEW YORK, NY -- November 2, 2021 -- InvestorsHub NewsWire
-- Logiq,
Inc. (OTCQX:
LGIQ, NEO:
LGIQ), a global provider of award-winning customer acquisition
solutions, announced its board of directors has approved a plan to
separate its DataLogiq and AppLogiq businesses into two independent
publicly traded companies.
Following a strategic review of the company's growth strategies
and structure, the board determined that creating two standalone
businesses would best position DataLogiq and AppLogiq to capitalize
on their respective growth opportunities in the rapidly evolving
global e-commerce and fintech landscape, and would be the best path
to creating shareholder value.
The plan calls for the AppLogiq business to be acquired by
another existing or newly formed publicly traded company. The
AppLogiq segment includes mobile
e-commerce solutions, a recently announced mobile fintech platform for
microlending, and the company's beneficial stake in PT Weyland
Indonesia Perkasa (WIP). WIP is the operator of
the AtozGo™ food delivery service
and AtozPay™ mobile e-wallet.
The separation of the two businesses is expected to result in
shareholders of Logiq receiving shares in the company that acquires
the AppLogiq business upon consummation of the transaction.
However, the final structuring of the transaction remains subject
to execution of definitive agreements and may change, as well as to
subject to satisfaction of market, regulatory and other customary
closing conditions.
"We believe separating AppLogiq and DataLogiq into two
'pure-play' publicly-traded companies would unlock additional value
for our shareholders," stated Brent Suen, president of Logiq. "As
independent companies, each would have a sharper focus and greater
flexibility to pursue M&A opportunities in their respective
markets for e-commerce in the U.S. and fintech markets in Southeast
Asia.
"We see this also enabling considerably higher peer valuations
compared to where Logiq is at today with AppLogiq and DataLogiq
combined. As one analyst recently pointed out, for Logiq, 'the sum
of the parts is greater than the whole.' Based on comparable public
market valuations and private equity funding for companies in the
emerging markets fintech sector, it would imply that AppLogiq's
standalone valuation could justify $100 million."
There are several companies that Logiq has partnered with in
emerging markets that are currently reviewing a potential
acquisition of, or merger with, AppLogiq. Such a transaction could
form a substantial platform for digital services to be offered in
high-growth emerging markets.
Logiq recently announced engaging a leading U.S. investment
bank, The Benchmark Company, to assist Logiq with this transaction
and potentially others. Logiq plans to complete the separation
before the end of the year, subject to customary conditions and
approvals.
About Logiq
Logiq Inc. is a U.S.-based leading global provider of e-commerce
and fintech business enablement solutions. Its DataLogiq business
provides a data-driven, end-to-end marketing and consumer
acquisition solution. Its AI-powered LogiqX™ data engine delivers
valuable consumer insights that enhance the ROI of online marketing
spend and personalization. The company's Fixel technology offers
simplified online marketing with critical privacy features.
In its AppLogiq business, Logiq's platform-as-a-service, branded
as CreateApp™, enables small- and medium-sized businesses worldwide
to easily create and deploy a native mobile app for their business
without technical knowledge or background. CreateApp™ empowers
businesses to reach more customers, increase sales, manage
logistics, and promote their products and services in an easy,
affordable, and highly efficient way.
CreateApp™ is offered in 14 languages across 10 countries and
three continents, including some of the fastest-growing emerging
markets in Southeast Asia. The company's PayLogiq, branded as
AtozPay™ in Indonesia, offers mobile payments, and GoLogiq, branded
as AtozGo™ in Indonesia, offers hyper-local food delivery services.
Connect with Logiq: website | LinkedIn | Twitter| Facebook.
Important Cautions Regarding Forward-Looking
Statements
This press release contains certain forward-looking statements
and information, as defined within the meaning of Section 27A of
the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934 and is subject to the Safe Harbor created by
those sections. This press release also contains forward-looking
statements and forward-looking information within the meaning of
Canadian securities legislation that relate to Logiq's current
expectations and views of future events. Any statements that
express, or involve discussions as to, expectations, beliefs,
plans, objectives, assumptions or future events or performance
(often, but not always, through the use of words or phrases such as
"will likely result", "are expected to", "expects", "will
continue", "is anticipated", "anticipates", "believes",
"estimated", "intends", "plans", "forecast", "projection",
"strategy", "objective" and "outlook") are not historical facts and
may be forward-looking statements and may involve estimates,
assumptions and uncertainties which could cause actual results or
outcomes to differ materially from those expressed in such
forward-looking statements. No assurance can be given that these
expectations will prove to be correct and such forward-looking
statements included in this press release should not be unduly
relied upon.
These statements speak only as of the date of this press
release. Forward-looking statements are based on a number of
assumptions and are subject to a number of risks and uncertainties,
many of which are beyond Logiq's control, which could cause actual
results and events to differ materially from those that are
disclosed in or implied by such forward-looking statements. In
particular and without limitation, this press release contains
forward-looking statements regarding our products and services, the
use and/or ongoing demand for our products and services,
expectations regarding our revenue and the revenue generation
potential of our products and services, our partnerships and
strategic alliances, the impact of global pandemics (including
COVID-19) on the demand for our products and services, industry
trends, overall market growth rates, our growth strategies, the
continued growth of the addressable markets for our products and
solutions, our business plans and strategies, the proposed
separation of Logiq's AppLogiq and DataLogiq business into two
public companies, including, without limitation, our ability to
successfully locate and consummate the contemplated strategic
transactions, the structure of any such transaction, timing of such
transaction, and the valuation of the businesses after completion
of any such transaction, if any, and other risks described in the
Company's prior press releases and in its filings with the
Securities and Exchange Commission (SEC) including its Annual
Report on Form 10-K and any subsequent public filings, and filings
made pursuant to Canadian securities legislation that are available
on www.sedar.com, including under the heading "Risk Factors" in the
Company's Canadian Prospectus.
Logiq undertakes no obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise, except as may be required by law. New
factors emerge from time to time, and it is not possible for Logiq
to predict all of them, or assess the impact of each such factor or
the extent to which any factor, or combination of factors, may
cause results to differ materially from those contained in any
forward-looking statement. Any forward-looking statements contained
in this press release are expressly qualified in their entirety by
this cautionary statement.
Company Contact
Brent Suen, President
Logiq, Inc.
Email
contact
Media & Investor Contact
Ronald Both or Justin Lumley
CMA Investor & Media Relations
Tel (949) 432-7566
Email
contact
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