Fort Lauderdale, FL, November 01, 2021 (GLOBE NEWSWIRE) – The Singing Machine Company, Inc. (“Singing Machine” or the “Company”) (OTCQX: SMDM) – the North American leader in consumer karaoke products , announced that the company has started to implement its strategy of establishing a national stock exchange. The Company is seeking to list on the National Stock Exchange in order to improve its investor profile as part of its capital markets initiative with the aim of increasing shareholder value.
Pursuant to the terms of a recent equity investment by a group of institutional funds, the Company has initiated the process of listing on a national stock exchange. The company retained the services of Sichenzia, Ross, Ference LLP as legal counsel to facilitate the process and submitted an application for listing on a national stock exchange. As a first step in the qualification process, the Company also obtained the approval of the shareholders holding the majority of the voting rights of the Company to proceed with a consolidation of common shares of the Company in order to meet the minimum bid price requirement. for listing on a national exchange market.
“Over the past few years, the company has made tremendous strides in consolidating its leadership position in the karaoke space, now making the right time to try and join a national exchange,” said Singing Machine CEO Gary Atkinson. . “At the start of fiscal 2022, the Company determined that it would be in the best interests of shareholders to rebuild the shareholder base by purchasing the majority shareholder at 51%. Thanks to a successful recapitalization in August 2021, the Company was able to replace the former majority shareholder with several high quality institutional investors and a key strategic investor. This has positioned the Company to undertake other initiatives that it believes have the potential to generate more shareholder value. “
Mr. Atkinson continued, “The team focused on innovating and bringing the best products to market. Our transformation plan is already underway to begin to shift the business from a purely material business to a fully integrated music hardware / content business.
“We recognize the growth opportunity that lies before us, by listing on a national stock exchange, we will be ideally positioned to capitalize on our time to market, by carefully matching our capital needs to maximize growth”, added Lionel Marquis, CFO of Singing Machine. . “Our goal is to have a singing machine in every household in America, and we believe that a listing on a national stock exchange will open more doors for more investors to help generate shareholder value. . “
“Singing Machine has been the number one brand of karaoke machines in the United States for over 40 years and has provided homes around the world with countless hours of entertainment. We are poised to take the next step in the development of the Company and gain more attention from respected institutions and retail investors as we continue to grow the business. “
The Company intends to take all necessary measures to meet the listing requirements of the National Stock Exchange. However, there can be no assurance that the Company’s application will be approved and, if approved, that the Company will continue to meet the listing requirements of a national stock exchange.
About the singing machine
Singing Machine® is the leading supplier of karaoke products to consumers around the world. The company offers the industry’s broadest line of in-home and in-car karaoke entertainment products, which allow consumers to find a machine that suits their needs and skill level. The company’s products are sold in more than 25,000 locations around the world, including well-known retailers such as Amazon, Costco, Sam’s Club, Target and Walmart. As the most recognized brand in karaoke, Singing Machine products incorporate the latest technologies and provide access to more than 100,000 songs in streaming via its mobile application and certain WiFi compatible products. For more information, visit www.singingmachine.com.
Forward-Looking Cautionary Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current expectations, estimates and projections regarding the business of the Company based, in part, on assumptions made by management and include, without limitation, statements regarding our financial statements for the year ended March 31, 2021. You should review our risk factors in our SEC documents which are incorporated into the present by reference. These forward-looking statements speak only as of the date on which they are made and the company does not undertake to update any forward-looking statements to reflect events or circumstances subsequent to the date of this press release.
Investor Relations Contact: Brendan Hopkins (407) 645-5295 [email protected]hine.com/investors
Copyright 2021 GlobeNewswire, Inc.