ugg 2014 Forward Industries

kids uggs Forward Industries

Forward Industries, Inc. Shares Skyrocket as Investors Cheer Acquisition

Shares of Forward Industries, Inc. (NASDAQ:FORD) jumped 165% during early Friday trading. Driving the monstrous surge was the news that the company has acquired a leading product design and development company, Intelligent Product Solutions (IPS), for a material consideration comprising of cash, equity, and contingent earn outs.

IPS clients include leading brands in consumer electronics, medical devices, enterprise and security solution providers and Internet of Things connected solutions, including Google, Physio Control, PepsiCo, Motorola, ABInBev,
ugg 2014 Forward Industries
Zebra and Charity Water.

In consideration for the acquisition, the Company: (I) paid approximately $1.9 million in cash, (II) assumed approximately $1.5 million of outstanding debt, (III) issued a total of 401,835 shares of the Company’s common stock to the two owners of IPS, (IV) agreed to pay $1,000,000 of deferred cash payments (with the first payment of $500,000 due on May 18, 2018) and (V) up to $2.2 million of earnout payments based upon IPS meeting certain EBITDA milestones over a three year period. Additionally, the Company entered into three year employment agreements with Mitchell Maiman, the President of IPS and Paul Severino, the Chief Operating Officer of IPS, and agreed to pay them each $256,
ugg 2014 Forward Industries
000 per year.