SAN FRANCISCO, CA / ACCESSWIRE / February 24, 2021 / SMC Entertainment, Inc. (“SMC” or the “Company”) (OTC PINK: SMCE), a provider of products and services to the entertainment industry, digital communications and content distribution solutions, is pleased to announce that it has entered into a definitive purchase agreement to acquire 100% of Michigan-based Spectrum Entertainment LLC (“Spectrum LLC”) Has. for the equity of SMC Entertainment. SMC expects this acquisition to close soon and will publish the terms of the acquisition when it is closed.
Spectrum Midway & Carnival, the marketing brand name of Spectrum LLC, specializes in rides, games, food and fun for the whole family. Spectrum LLC has been in operation for over 25 years. Revenue for the 2018 and 2019 fiscal years was $ 597,153 and $ 618,204, respectively. Spectrum LLC saw a significant drop in revenue in FY 2020 due to the troubled US economy and expects revenues to recover in FY 2021 as the economy opens up and market conditions improve. At the end of fiscal 2020, Spectrum LLC’s net assets were $ 1,569,000. All figures are unaudited.
SMC will use this acquisition to expand its business plan to include established and proven revenue generating companies that require minimal working capital to operate their existing infrastructure. SMC intends to invest additional capital to increase Spectrum LLC’s market share and add additional games and rides.
Rick Bjorklund, President and CEO of SMC stated: “Since joining the SMC team in 2018, we have continued to seek acquisition opportunities in fragmented markets with an appropriate acquisition valuation. This acquisition provides SMC with additional revenue and strengthens our material assets We believe that there are more strategic acquisitions in this area and we will invest our time in finding the right synergetic expansion opportunities. “
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Dan Barbacovick, Founder and Owner of Spectrum LLC, said: “We are pleased that SMC Entertainment has confidence in our growth strategy. Rick Bjorklund has extensive experience in the community events business that fits very well with Spectrum’s goals and visions ! “
About Spectrum Entertainment LLC
Spectrum Entertainment LLC has provided rides, games, food and fun for all the family for over 25 years through its marketing brand Spectrum Midway & Carnival. For more information visit www.spectrumcarnival.com.
About SMC Entertainment, Inc.
SMC Entertainment, Inc. is a provider of products and services to the entertainment industry, digital communications and media content marketplaces. Our multidisciplinary sales approach offers a platform to increase sales growth through acquisitions. For more information visit www.smceinc.com.
SMC Entertainment, Inc.
Safe Harbor Statement
This press release contains statements that may constitute forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. These statements contain statements regarding the intent, belief, or current expectations of the company, its members of management and assumptions on which such statements are based. Potential investors are cautioned that such forward-looking statements are no guarantee of future performance and involve risks and uncertainties and that actual results could differ materially from those anticipated in such forward-looking statements.
SOURCE: SMC Entertainment, Inc.
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