/NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S.
NEWSWIRES./
TORONTO, Sept. 5, 2019 /CNW/ - Mimi's Rock Corp.
("Mimi's Rock" or "the Company") (TSXV: MIMI), an
online dietary supplement and wellness business, is pleased to
announce it has entered into binding agreements to acquire two
additional businesses, namely All Natural Advice Ltd. ("All
Natural") and Maritime Naturals Ltd. ("Maritime
Naturals"). All Natural is the #1 Skin Care Seller on
Amazon Canada for the past 4 years. Mimi's Rock will acquire all of
the issued and outstanding shares of each of All Natural and
Maritime Naturals for an aggregate purchase price of $9,636,000. The acquisition of these accretive
businesses will fold in the #1 seller of skincare products on
Amazon Canada, adding approximately $5.5
million of revenue and $1.6
million of EBITDA. Combined, these two companies delivered a
54% compound annual growth rate over the last five years, with no
debt.
"We are very excited to add the All Natural and Maritime
Naturals brands to our portfolio. These companies have a history of
strong financial performance and will immediately open additional
markets for us. The brand exposure and potential for cross-selling
to existing customers will be a great benefit," says Mimi's Rock
CEO, David Kohler. "Access to the
premium organic and all-natural beauty segment is a great fit for
our company and aligns with our wellness-seeking clientele."
The purchase price will be satisfied by (i) the payment, in
aggregate, of approximately $5.5
million in cash, (ii) the issuance of common shares in the
capital of Mimi's Rock valued at approximately $2.1 million, and (iii) the assumption of a
$2 million vendor loan to be repaid
within 12 months of closing. The cash portion of the purchase price
is expected to be paid from a combination of cash on hand and
additional borrowings under a modification of the Company's long
term debt facilities. Further details will be provided in a
subsequent news release once determined. Subject to the
satisfaction of customary closing conditions, including the
execution of definitive agreements and receipt of approval from the
TSX Venture Exchange, the acquisitions are expected to close on or
about October 15, 2019.
Combined Acquisition Highlights:
- #1 seller of skincare products on Amazon Canada
- ~$5.5M revenue
- ~$1.6M EBITDA
- 54% CAGR over 5 years
- 45 SKUs
- Operational in multiple jurisdictions
All Natural and Maritime Naturals currently offer products in
Germany, Italy, UK and Australia, giving Mimi's Rock immediate access
to these markets. Their products will allow Mimi's Rock to offer 45
additional SKUs to its already impressive basket of products by
offering anti-aging organic skincare products, all-natural masks
& scrubs, acne blemish treatments, beard oils and more.
About All Natural Advice & Maritime Naturals
All Natural Advice and Maritime Naturals, based in Ontario and Nova
Scotia, respectively, are companies focused on skin and
beauty care. Products sold by All Natural and Maritime Naturals are
made in Canada and registered with
Health Canada and under the EU Cosmetics Act. Together, All Natural
and Maritime Naturals have over 45 products in jurisdictions around
the world. All Natural has been featured on BNN as a top selling
skincare brand in Canada and has
been rated the #1 Beauty Brand on Amazon Canada for the past four
years.
About Mimi's Rock Corp.
Mimi's Rock Corp. is an online dietary supplement and wellness
company. The leading brand of Mimi's Rock is Dr. Tobias, which
features more than 30 products, including the top-selling Colon
Cleanse and the #1 selling Omega 3 Fish Oil, which is also the
fourth largest Subscribe and Save product on Amazon.com. Mimi's
Rock currently serves customers in the
United States through Amazon.com, Walmart.com, Jet.com and
Dr. Tobias.com, with a plan to expand into other markets. For more
information, visit https://mimisrock.com.
Forward-Looking Information
Certain forward-looking statements contained in this news
release that are based on the current expectations of management
involve risks and uncertainties This 'forward-looking
information', as the term is defined in applicable securities
laws, includes, without limitation, the business and business
results, goals, or outlook of Mimi's Rock; risks associated
with financial results and stability; development projects such as
those referenced herein; sales to foreign jurisdictions;
engineering and construction; production (including control over
costs, quality, quantity, and timeliness of delivery); foreign
currency and exchange rates; maintaining adequate working capital
and raising further capital on acceptable terms or at all; and
other similar statements concerning anticipated future events,
conditions, or results that are not historical facts. These
statements reflect management's current estimates, beliefs,
intentions, and expectations; they are not guarantees of future
performance. The Company cautions that all forward-looking
information is inherently uncertain and a number of material
factors, many of which are beyond the Company's control, may affect
actual performance. Accordingly, actual future events, conditions,
and results may differ materially from the estimates, beliefs,
intentions, and expectations expressed or implied in the
forward-looking information. All statements are made as of the date
of this news release and represent the Company's judgement as of
the date of this news release. Any statements contained
herein that are not statements of historical fact may be
deemed to be forward-looking, including those identified by the
expressions 'aim', 'anticipate', 'appear', 'believe', 'consider',
'could', 'estimate', 'expect', 'if', 'intend', 'goal', 'hope',
'likely', 'may', 'plan', 'possibly', 'potentially', 'pursue',
'seem', 'should', 'whether', 'will', 'would', and similar
expressions. Forward-looking statements are subject to a number of
risks and uncertainties that could cause actual results or events
to differ materially from current expectations. Except as required
by law, Mimi's Rock does not assume any obligation to update
the forward-looking statements, or to update the reasons why actual
results could differ from those reflected in the forward-looking
statements.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this news release.
Please visit www.sedar.com for recent Mimi's Rock Corp.
filings.
SOURCE Mimi’s Rock Corp.