TPT Global Tech Inc. (OTC:TPTW) Stock Surges After A Key Update: Now What?
The San Diego, California-based technology leader TPT Global Tech Inc. (OTC:TPTW) was one of the companies to have come into sharp focus among investors on August 25. That led to a strong move in its stock last Friday, and it ended up with gains of as much as 27%.
As another trading week opens, the stocks are likely to be on the radar of investors once again, and it could be a good time to take a look at the announcement. The company announced on August 25 that it had entered into a Memorandum of Understanding in which the proposal was for it to acquire as much as 60% ownership stakes in Tekmovil LLC and Tekmovil Holdings LLC.
The companies are collectively known as Tekmovil, and the firm is headquartered in Miami, Florida. In its news release last Friday, TPT Global Tech noted that the acquisition would help the company better prepare for the launch of VuMe LLC, its VuMe Super App subsidiary, in as many as 16 nations in the Americas.
One of the more important aspects of the acquisition would be the integration of the VuMe Super App on the mobile phones that are distributed by Tekmovil. The company went on to note that if the global tech experience of TPT Global Tech and the distribution network of Tekmovil could be leveraged, then users spread across as many as 16 nations could experience an unparalleled content offering.
As per the provisions of the deal, Tekmovil would pre-install the VuMe Super App on the mobile phones that it would distribute in the Latin American nations. The company went on to state that it believed that Tekmovil would also get real-time access to the VuMe dashboard and thereby get an insight into some vital data. The data would include real-time revenues generated from television broadcast offerings, usage statistics, performance, and in-app purchases. In the last 12 months ending June 30, 2023, the company managed to generate around $210 million in revenues, as per its unaudited financial reports.
On August 1, the company entered the news cycle after it announced that it had completed the acquisition of 100% of all the outstanding shares in the firm Broadband Infrastructure Inc. (BII). As a company, BII is involved in the building of fiber optic infrastructure for both government agencies and telecom carriers across the United States.
The company completed the acquisition in a deal worth $9 million, out of which $6 million was made out in the form of a promissory note, and the company’s Series E Preferred Stock made up $3 million of the rest. The promissory note could be paid off by the company from the money raised through an S-1 registered offering or a Registration A capital raise concurrently with the capital raise and uplisting to a major exchange in the United States. The closing of the transaction had been set for September 30, 2023 at the latest; however, it was noted that it could be extended.
