Blockchain
JanOne to Acquire ALT 5 Sigma Inc., a Leading Provider of Next-Generation Blockchain Financial Technology
ALT 5 Transactional Processing Volume Exceeded $1.1 Billion in 2023 and Over $450 Million in Q1 2024
LAS VEGAS, May 13, 2024 /PRNewswire/ — JanOne Inc. (Nasdaq: GEN) announced today that it has entered into a definitive agreement to acquire blockchain financial technology provider, ALT 5 Sigma Inc., a Delaware corporation, and each of its wholly owned subsidiaries. The transaction is expected to close the week of May 13, 2024 and is subject to customary closing conditions and applicable regulatory requirements.
Launched in 2018, ALT 5 is a fintech that provides next-generation blockchain-based technologies to enable the migration to a new global financial paradigm. ALT 5, through its subsidiaries, offers two main platforms to its customers: “ALT 5 Pay” and “ALT 5 Prime”.
ALT 5 Pay is a cryptocurrency payment gateway that allows registered and approved global merchants to accept and make cryptocurrency payments or integrate the ALT 5 Pay payment platform into their application or operations using the plugin with WooCommerce and/or the ALT 5 Pay checkout widget and API. Merchants have the option to automatically convert to fiat currency (US Dollars, Canadian Dollars, Euros and British Pounds) or receive payment in digital assets.
ALT 5 Prime is an over-the-counter electronic trading platform that allows registered and approved customers to buy and sell digital assets. Customers can purchase digital assets with fiat, and similarly, they can sell digital assets and receive fiat. ALT 5 Prime is available through a browser-based access, a mobile phone application called “ALT 5 Pro” which can be downloaded from the Apple App Store, Google Play, via the ALT 5 Prime FIX API, as well as via Broadridge Financial Solutions Gateway NYFIX for approved customers.
According to Research and Markets.com (1) “The payment processing solutions market size is estimated to grow from approximately $100 billion in 2023 at a CAGR of 9.5% during the forecast period from 2023 to 2030. ” Furthermore, the report states: “Technological advances, including artificial intelligence, machine learning and blockchain, are revolutionizing the payment processing landscape.” (1) Source https://ca.finance.yahoo.com/news/global-payment-processing-solutions-market-121800862.html
“We believe that ALT 5’s innovative solutions provide significant competitive advantages in this market and together we can help them continue their growth,” said Tony Isaac, President and CEO of JanOne Inc. “The innovative products and services provided by ALT 5 to its global customers are at the forefront of the payment processing industry and have helped reduce risk and eliminate costly credit card chargebacks. Additionally, ALT 5 has developed a profitable business that we can help you quickly expand to globally, we will begin working with the Alt5 team to identify further opportunities to expand our product portfolio and business reach.”
Andre Beauchesne, President of ALT 5 Sigma Inc., said: “Since our inception in 2018, it has been one of our goals to be part of a publicly traded company and the acquisition by JanOne begins a bright new chapter in our growth story.” He added: “As we continue to build on our strong foundation, JanOne’s management team and public listing will help capitalize on many opportunities.”
Transaction overview
At closing, JanOne will issue to former ALT 5 shareholders 1,799,100 shares of common stock, representing approximately 19.9% of JanOne’s outstanding common shares as of May 10, and (ii) 34,207 shares of its Series B non-preferred stock convertible and non-refundable. Upon closing, ALT 5 Sigma Inc. and its subsidiaries will become wholly owned subsidiaries of JanOne.
Further details on the acquisition can be found on JanOne’s website at https://ir.janone.com/sec-filings or in JanOne’s filings with the Securities and Exchange Commission at https://www.sec.gov/edgar/browse/?CIK=862861&owner=exclude.
About JanOne Inc. — JanOne is a unique Nasdaq-listed company offering innovative, actionable solutions intended to help end the opioid crisis. JanOne is committed to funding innovation, technology and education resources to find a key solution to the national opioid epidemic, which is one of the deadliest and most widespread in the nation’s history. Its drugs in clinical trials have shown promise for their innovative approach to the causes of pain as a strategic option for doctors averse to exposing patients to addictive opioids.
Please visit www.janone.com for more information.
Forward-Looking Statements
This press release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding statements that JAN 101 will address PAD, JAN 123 will address CRPS, timing of initiation of clinical trials, that the FDA will allow approval through a 505(b)(2) pathway for JAN 123, which upon JAN 101 approval will immediately disrupt the PAD market and other statements, including words such as “continue”, “expect”, “intend”, “will,” “hope,” “should,” “would,” “can,” “potential,” and other similar expressions. Such statements reflect JanOne’s current view with respect to future events, are subject to risks and uncertainties and are necessarily based on a number of estimates and assumptions that, while considered reasonable by JanOne, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause JanOne’s actual results, performance or achievements to be materially different from any future results, performance or achievements described in this press release. Such factors may include, among others, those detailed in the Company’s periodic reports filed with the Securities and Exchange Commission (the “SEC”). Should one or more of these risks or uncertainties materialize, or should the assumptions set forth in the section entitled “Risk Factors” in JanOne’s SEC filings underlying such forward-looking statements prove incorrect, actual results may vary materially from those described here. These forward-looking statements are made as of the date of this press release and JanOne does not intend, and undertakes no obligation, to update these forward-looking statements, except as required by law. JanOne cannot assure you that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Individuals are cautioned that forward-looking statements are not guarantees of future performance and accordingly investors are cautioned not to place undue reliance on forward-looking statements due to the inherent uncertainty therein.
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SOURCE JanOne Inc.