BOCA RATON, FL, Jan. 03, 2018 (GLOBE NEWSWIRE) -- Grom Social Enterprises (OTCQB: GRMM) ("Grom” or the "Company"), a social media company providing a safe networking environment for children ages five to 16, today announced that it has acquired the assets of New Jersey-based Fyoosion, LLC (“Fyoosion”).
Included in the assets acquired is a proprietary software that utilizes a digital automation marketing platform for businesses of all types, enabling companies to efficiently generate sales leads and improve customer retention. Grom intends to use this marketing software with all of its existing businesses and to create new opportunities outside its current scope of business.
Grom purchased these assets for 300,000 shares of its Common Stock, and assumed $262,357 in debt of which the Company has settled $165,286 in consideration for the issuance of 275,476 shares of its Common Stock, at a price of $0.60 per share.
“The acquisition of Fyoosion’s assets helps us to complete a very productive 2017, and with this powerful automated software now in-house, positions us for growth as we head into 2018,” said Darren Marks, Grom’s Chairman and CEO. “In today’s competitive environment, it is critical to maximize the impact of digital marketing dollars spent to increase sales leads and customer traffic. We expect to use this software to help accelerate the number of visitors to our GromSocial.com website and across each of our respective revenue streams, as well as to generate new sources of revenue with third parties. Finally, we are very fortunate to be able to add to our management team the co-founder of Fyoosion, Abhishek Jain, who will become Grom’s Vice President of Digital Marketing.”
“We look forward to implementing the Fyoosion digital marketing platform to enhance all of our current products and services, especially in conjunction with the launch of our Grom Nutritional Services subsidiary’s children’s cognitive supplement 'Just Brilliant,' which we expect to roll out during the second quarter of 2018,” said Melvin Leiner, Grom’s Executive Vice President.
“I'm thrilled to join the high caliber Grom organization and look forward to working with the management team as we continue to grow the business,” said Abhishek Jain, Grom's VP of Digital Marketing. “I am confident that Fyoosion digital marketing software will be an excellent tool for helping Grom achieve widespread recognition for its products, as well as its social media platform."
About Grom Social Enterprises, Inc.
Grom Social Enterprises, Inc. operates five subsidiaries, including Grom Social, a safe social media platform for kids between the ages of five and 16. Since its beginnings in 2012, Grom Social has attracted kids and parents with the promise of a safe and secure environment where their kids can be entertained and can interact with their peers while learning good digital citizenship.
The Company also owns and operates Top Draw Animation, Inc., an award-winning animation company which produces animated content for Grom Social and other high-profile media properties such as Tom and Jerry, My Little Pony and Disney Animation's Penn Zero: Part-Time Hero. In addition, Grom Educational Services provides web filter services up to an additional two million children across 3,700 schools and libraries, and Grom Nutritional Services is in the process of creating a line of healthy nutritional supplements for children.
For more information please visit Grom's website at www.gromsocial.com.
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This press release may contain forward looking statements which are based on current expectations, forecasts, and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially from those anticipated or expected, including statements related to the amount and timing of expected revenues and any payment of dividends on our common stock, statements related to our financial performance, expected income, distributions, and future growth for upcoming quarterly and annual periods. Actual results and the timing of certain events could differ materially from those projected in or contemplated by the forward-looking statements due to a number of factors. Among other matters, the Company may not be able to sustain growth or achieve profitability based upon many factors including, but not limited to general stock market conditions. We have incurred and will continue to incur significant expenses in our expansion of our existing and new service lines, noting there is no assurance that we will generate enough revenues to offset those costs in both the near and long term. Additional service offerings may expose us to additional legal and regulatory costs and unknown exposure(s) based upon the various geopolitical locations where we will be providing services, the impact of which cannot be predicted at this time. All forward-looking statements speak only as of the date of this press release. We undertake no obligation to update any forward-looking statements or other information contained herein. Stockholders and potential investors should not place undue reliance on these forward-looking statements. Although we believe that our plans, intentions and expectations reflected in or suggested by the forward-looking statements in this report are reasonable, we cannot assure stockholders and potential investors that these plans, intentions or expectations will be achieved. Except to the extent required by law, we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, a change in events, conditions, circumstances or assumptions underlying such statements, or otherwise.