SAN FRANCISCO, CA / ACCESSWIRE / March 23, 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 the program has been completed was a 100% acquisition of Spectrum Entertainment, LLC (“Spectrum”) based in Michigan for equity. This acquisition significantly strengthens SMC’s sales and balance sheet and will be reflected in SMC’s financial statements for the second quarter of 2021.
Spectrum specializes in rides, games, food and fun for the whole family. Spectrum has been in operation for over 25 years. Revenue for the 2018 and 2019 fiscal years was $ 597,153 and $ 618,204, respectively. Spectrum saw a significant drop in sales in fiscal 2020 due to the pandemic, but expects revenue to recover in fiscal 2021 as the economy opens up and market conditions improve. At the end of fiscal 2020, Spectrum’s net worth was $ 1,569,000. All figures are unaudited.
With the 2021 season opening in just a few weeks, SMC and Spectrum have already closed new events and markets that could potentially increase sales by up to 40%. SMC intends to invest additional capital to increase Spectrum’s market share and add new games and rides.
SMC will use the Spectrum acquisition as a launch pad for additional acquisitions in the family-run and event-based fragmented market and consolidate them under the SMC brand. At the very least, such acquisition opportunities should require adequate valuation, well-established markets, proven revenue, and minimal working capital.
Under the Acquisition Agreement: (a) SMC will issue 40,000,000 restricted common shares to Spectrum’s stakeholders, (b) SMC will extend the management arrangements to the Spectrum management team to continue the day-to-day operations of Spectrum, and (c) SMC will assume institutional and personal short and long term debt. All shares are issued pursuant to Rule 144 of the Securities and Exchange Commission and issued out of the Treasury of SMC.
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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 Carnival Midway. More information is available at 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 forms a building block for increasing sales growth through acquisitions. More information is available at www.smceinc.com.
Press contact:
Ron Hughes, COO
SMC Entertainment, Inc.
Ron.Hughes.operations@gmail.com
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 may differ materially from those anticipated in these forward-looking statements.
SOURCE: SMC Entertainment, Inc.
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