MEDIROM Healthcare Technologies (NASDAQ: MRM) Stock Rallies After Strategic Investment
Considering the fact that the MediROM Healthcare Technologies Inc. (NASDAQ: MRM) stock recorded handsome gains of 37% on Tuesday, it could be in sharp focus among investors this morning. Here’s a closer look at what led to the rally yesterday.
Elematec Corporation Forms a Business Alliance with and Agrees to Make a Strategic Investment in MediROM Healthcare Technologies’ MOTHER Labs Subsidiary
On October 15, MEDIROM Healthcare Technologies Inc. announced that MERIDOM MOTHER Labs Inc., its subsidiary unit, had formed a business and capital alliance with Elematec Corporation, a constituent of the Toyota Tsusho Corporation Group.
As per the provisions of the agreement pertaining to the alliance, Elematec Corporation reached an agreement to make a strategic investment in Meridom MOTHER Labs’ Series A round. The investment would value MERIDOM MOTHER Labs at a pre-money valuation of 9 billion yen, which is equivalent to $60,000,000.
Key Details
Elematec is involved in the electronics trading business and boasts of 70 locations spread across Japan and the world. It offers a range of commercial electronic products to its customers. Its customers demand new personal electronics products with rich, innovative features, and that is where the MOTHER Bracelet product comes in. It enables the users to monitor their health around the clock, 7 days a week, 365 days a year. It supports continuous and uninterrupted monitoring.
CEO Quote
“We anticipate the capital and business alliance will produce strong synergies with Elematec’s parts procurement and manufacturing services and allow us to leverage its vast network of business partners to provide an additional distribution channel for MEDIROM’s MOTHER Bracelet,” said Yoshio Uekusa, CEO, MEDIROM MOTHER Labs.
Technicals
| +/- EMA(20) | 3.18 (+25.16%) |
| +/- SMA(50) | 3.46 (+15.03%) |
| +/- SMA(200) | 4.89 (-18.61%) |
| 5-Day Perf. | +40.73% |
| 1-Month Perf. | +2.05% |
| 3-Month Perf. | -1.03% |
| 6-Month Perf. | -33.56% |
| YTD Perf. | -30.42% |
| 1-Year Perf. | -31.02% |
| RSI(14) | 61.98 |
| ATR(14) | 0.46 |
| ADX(14) | 20.38 |
| Beta (5Y) | 0.63 |
