- Creatd Ventures LLC finalizes Assignment and Assumption agreement for the assets and liabilities of its brands Brave and Basis with private investor group.
- The Company eliminates nearly $300,000 in liabilities from its balance sheet and approximately $500,000 in go forward operating expenses.
- Creatd, Inc. to receive a 7.5% royalty on the sale of the acquired inventory and be awarded 7.5% equity in the acquiring entity.
NEW YORK, 10/10/2023 -- Creatd, Inc. is pleased to announce the successful completion of the sale of assets pertaining to its brands Brave and Basis, held under its wholly-owned subsidiary, Creatd Ventures LLC. The subsidiaries were sold to a private investment group. This strategic decision not only streamlines the company's focus but also significantly strengthens its financial position. The company does not expect any material change to Net Revenues as the non core businesses had been phased out throughout the year.
Jeremy Frommer, CEO and Chairman of Creatd, commented on this milestone, stating, “Given our successful launch of our subsidiary Vocal's Reg CF community round, we have strategically scaled down or eliminated non-essential businesses and core assets, focusing all our energy on the Vocal platform. This has empowered us, as announced yesterday, to progress on multiple fronts as we see an improving balance sheet. Our primary goal remains to eliminate debt, restore our balance sheet’s strength, enhance operating margins, and above all, create value for our shareholders. We are on a trajectory of growth and consolidation, and today’s move is another testament to our determination and vision.”
Forward Looking Statements
Any statements that are not historical facts and that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance (often, but not always, indicated through the use of words or phrases such as "will likely result," "are expected to," "will continue," "is anticipated," "estimated," "intends," "plans," "believes" and "projects") may be forward-looking and may involve estimates and uncertainties which could cause actual results to differ materially from those expressed in the forward-looking statements. We caution that the factors described herein could cause actual results to differ materially from those expressed in any forward-looking statements we make and that investors should not place undue reliance on any such forward-looking statements. Further, any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of anticipated or unanticipated events or circumstances. New factors emerge from time to time, and it is not possible for us to predict all of such factors. Further, we cannot assess the impact of each such factor on our results of operations or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. This press release is qualified in its entirety by the cautionary statements and risk factor disclosure contained in our Securities and Exchange Commission filings.