Victoria, British Columbia--(Newsfile Corp. - October 22, 2024) - ALUULA Composites Inc. (TSXV: AUUA) ("ALUULA" or the "Company") is pleased to announce that it has entered into a definitive purchase and sale agreement dated October 3, 2024 (the "Agreement") to sell certain operating assets (the "Business Assets") of Ocean Rodeo Sports Inc. ("Ocean Rodeo") to Bainbridge International Ltd., a company based in Southampton UK ("Bainbridge").
The sale of the Business Assets represents ALUULA's successful transition to the next phase in execution of its strategic refocus laid out in May 2024 which has the Company focusing on areas of growth for its composite material business. Additionally, the sale eliminates any perceived conflict of interest with its numerous windsports customers while ensuring the Ocean Rodeo brand remains active and available for customers in the windsports category. Completion of the sale of the Business Assets to Bainbridge is subject to final approval of the TSX Venture Exchange.
Under the terms of the Agreement, Bainbridge is acquiring the following Business Assets: Ocean Rodeo brand and trade name, marketing collateral, website, design files for Ocean Rodeo products, and specific intellectual property. Consideration paid for the Business Assets consists of an upfront cash payment and a three-year revenue sharing arrangement, commencing on March 1, 2025. Bainbridge has also agreed to negotiate minimum annual purchase volumes of ALUULA materials in order to support their relaunch of Ocean Rodeo branded products in the spring of 2025.
Bainbridge brings to Ocean Rodeo an experienced executive and management team of windsports professionals, who aim to build on the solid base the brand has created since inception, while staying true to the long-held values of quality and performance.
About ALUULA Composites Inc.
ALUULA is an ultra-light, high performance and recycle-ready composite materials brand that enhances the performance of outdoor gear. Proudly owned and manufactured on the Canadian west coast, ALUULA's innovation is driven by a deep understanding that equipment does not need to sacrifice performance for sustainability. ALUULA's materials are known for their unique construction capabilities and their ability to make products lighter, stronger, and more sustainable.
aluula.com | (TSXV: AUUA)
On behalf of the Board of Directors,
Sage Berryman
Chief Executive Officer
1-888-724-2470
For ALUULA investor inquiries, please contact:
1-888-724-2470, ext. 4
IR@aluula.com
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media@aluula.com
ALUULA's Brand Partners
The term "brand partners" does not refer to formal partnerships with our customers. The term refers to marketing relationships with our customers who use ALUULA's technology as a brand ingredient in their products.
TSX Venture Exchange
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
Certain information in this news release includes statements about management's view of future events, expectations, plans, and prospects that constitute forward-looking statements, including, but not limited to, receipt of TSX Venture Exchange approval of the sale of the Business Assets, completion of the sale, and Bainbridge's successful negotiation of minimum annual purchase volumes of ALUULA materials in the spring of 2025. These statements are based on assumptions subject to significant risks and uncertainties. Because of these risks and uncertainties, and as a result of a variety of factors, including the timing and receipt of all applicable regulatory, and corporate third-party approvals, the actual results, expectations, achievements, or performance may differ materially from those anticipated and indicated by these forward-looking statements. Although the Company believes that the expectations reflected in forward-looking statements are reasonable, it can give no assurances that the expectations of any forward-looking statement will prove to be correct. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking statements or otherwise.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/227359
SOURCE: ALUULA Composites Inc.
