New York, December 6, 2022 /PRNewswire/ — Creatd, Inc. (OTCQB: CRTD) (“Creatd” or “we”), a creator-first technology company, today announced that it has entered into a letter of intent (“LOI”) with an outside party to sell its 25% stake in the company. Did. Its subsidiary, his OG Collection, Inc. (“OG Collection”), is acclaimed as his archive of media that captures the most iconic publications and people of the 20th century.
Summary of the proposed deal
- Consideration for stock acquisition: Under the terms of the LOI, Dorado Goose LLC shall acquire a total of 500,000 shares of OG Collection, Inc. for cash consideration. $2,500,000meaning pre-money valuation $7,500,000 post-money rating of $10,000,000.
- Capitalization: As previously announced, Creatd is moving forward with plans to spin off OG Collection, Inc. As part of this transaction, subject to Board approval, the Company will issue his 80% ownership interest in OG Collection, Inc. to shareholders of record. , and 20% to the management of the entity. Upon completion of the proposed transaction outlined in the LOI, this initial capital will be adjusted to reflect the new investor’s capital investment. With the purchase of 25% ownership by Dorado Goose LLC, Creatd shareholders’ original 80% ownership will be reduced to his 60%, and management’s original 20% will be reduced to his 15% after the transaction .
A record date will be set prior to the distribution of OG Collection, Inc. spin-out stock. Only shareholders who can prove physical ownership as of the record date will be entitled to receive new securities.
- Current assets: The OG Collection, Inc. contains approximately 150,000 published and unpublished images in their original format. About 25,000 original drawings, sketches, cartoons and artwork. Nearly 3,500 hours of original footage in VS, Super 8 film, and DVD formats. Nearly 5,000 mastheads, magazines, stories, unpublished scripts and production materials. Thousands of records from General Media, Inc. archives and Bob Guccione personal property. Additionally, the OG Collection includes OG Gallery web 3.0 and NFT assets.Intellectual property associated with the development of media including movies dirty gorgeous and book series No One’s Pet; Current projects such as podcasts, streaming videos, and licenses. All rights reserved for Bob Guccione’s photographs and illustrations.
Creatd Chairman and CEO Jeremy Frommer commented: Web 3.0 and NFT strategies, plus hundreds of thousands of original images in our vast media library, both through direct sales and transactions leveraging the collection’s striking images, through plans being considered in his LOI today be in a better position to monetize intellectual property. “
Frommer continued, “Equally important to me is the tactical value that the OG Collection, Inc spin-off will provide Creatd, Inc’s shareholders of record, both financially and in combating bare short selling. The transaction announced today only validates the spin-off’s pre-money value, but it will allow the company to move faster through the legal and operational milestones necessary to list the new company. , OG Collection shares will be distributed to Creatd shareholders. Careful monitoring is required to ensure that shares are not distributed to shareholders who cannot prove physical ownership at the time of the transaction.”
Created, Inc. (OTCQB: CRTD) is a company whose mission is to create economic opportunities for creators and brands by multiplying the influence of platforms, people and technology. The pillars of Creatd work together to create a flywheel effect, supporting the core vision of creating a viable and secure ecosystem for all stakeholders in the creator economy.
IR creation: https://investors.creatd.com;
Vocal platform: https://vocal.media;
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SOURCE Create Co., Ltd.