View all news

Creatd Announces its Intent to Purchase DTC Home Improvement Company, Wobble Wedge®

July 29, 2021
- Wobble Wedge is expected to be immediately accretive and contribute $1.5 million to $1.7 million in net revenues over the next 12 months.

FORT LEE, N.J., July 29, 2021 /PRNewswire/ -- Creatd, Inc. (Nasdaq CM: CRTD) ("Creatd" or the "Company"), the parent company of Vocal, today announced that it has entered into a non-binding Memorandum of Understanding ("MOU") to purchase a majority stake in direct-to-consumer company, Wobble Wedge®, which has disrupted the home improvement category with its eponymous, multi-patented product. Wobble Wedges®, sold through both direct-to-consumer (DTC) and wholesale avenues, are an interlocking modular system of tapered shims that are adaptable to hundreds of uses. The Wobble Wedge has become a staple tool for a wide range of user types, from homeowners to craftspeople, hobbyists, restaurant owners, plumbers, and more.

Pursuant to the MOU, Creatd intends to acquire a 55% equity stake in Wobble Wedge, in exchange for a combination of cash and stock. The Company expects to execute definitive agreements in early fourth quarter 2021 and to close shortly thereafter, subject to the completion of due diligence and other closing conditions. After closing, Creatd will begin to recognize Wobble Wedge's revenues in its consolidated financial statements.

Commented Creatd CEO, Jeremy Frommer, "I am thrilled about this opportunity to add Wobble Wedge to Creatd's e-commerce portfolio and to integrate their incredible management team. After closing, we expect the transaction to be immediately accretive to EBITDA and generate between $1.5 - $1.7 million in net revenues over the next 12 months."

Co-CEO Skip Wehner said, "Wobble Wedge was founded with the express intention to be a large-scale brand in the commercial and home improvement space. For years we have been on the lookout for the ideal opportunity to accelerate our mission. The Creatd team is exactly what we were looking for, and we could not be more excited about the chance to grow with them."

Wobble Wedge was first invented when creator Robert Bellows—the uncle of Mr. Wehner and a metal sculpture artist by trade—set out to design a household product that would be scalable, low cost, and that solved a universal problem: wobbly tables. What resulted was the prototype for the Wobble Wedge, which was subsequently refined through trial and error into the patented design still in use today. To this day, Wobble Wedges are made entirely in the United States, selling between 800,000 to 1,000,000 wedges per month.

About Creatd

Creatd, Inc. (Nasdaq CM: CRTD) is a creator-first technology company and the parent company of the Vocal platform. Our mission is to empower creators, entrepreneurs, and brands through technology and partnership.

For news and updates, subscribe to Creatd's newsletter: https://creatd.com/newsletter

Investor Relations Contact:
ir@creatd.com

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.

 

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/creatd-announces-its-intent-to-purchase-dtc-home-improvement-company-wobble-wedge-301344027.html

SOURCE Creatd, Inc.

Multimedia Files:

View all news