Sumoto: The merger agreement was signed with Nostromo – the capital market

The video and audio advertising company

Sumoto
+ 6.53%

Base:293.9

opening:313.1

Tall:0

low:0

change:–

Page Quote News Graphs Company Profile Recommendations


More articles on the subject:




Reports on a binding agreement to merge with the energy storage company Nostromo. In exchange for the merger, the company will invest about $ 10 million, and will allocate shares and warrants, which after the allotment will constitute about 73% of Sumoto’s shares. Upon completion of the move, Sumoto will operate to split into two public companies: Nostromo and a company that will concentrate existing operations and assets.

According to the company’s announcement, as part of the merger, Sumoto will invest approximately $ 10.3 million in Nostromo, which at the time of the investment constitutes approximately 21.5% of Nostromo. In exchange for the merger, the company will allocate to Nostromo’s shareholders approximately 73.4% of the company’s share capital. Thus, after the completion of the transaction, Sumoto shareholders will hold approximately 25% of the share capital of the merged company.

It was also determined that at the time of completion of the transaction, Nostromo will have $ 2.5 million in cash, and Nostromo will be free of any debt except current liabilities that do not exceed $ 150,000. Following the completion of the transaction, Nostromo is expected to have approximately $ 12.8 million.

In addition, Sumoto will work to transfer its existing operations to a new company and register it for trading, subject to obtaining the required approvals (income tax, stock exchange and securities authority). The new company will hold, among other things, the rest of the cash register, Tim Adtech (which operates under the Trinity Audio brand) and the rights derived from the sale of the app segment to a company controlled by Zvika Barenbaum. Another omission is that the existing activity will be transferred to a trustee or sold or closed, at Sumoto’s choice.