Xalles Holdings Inc (OTC:XALL) Stock Gains After Finalizing Profit-Sharing Sale of ArtemisX

There were certain companies that had come into the news cycle on Tuesday and could well be on the radars of investors today. One such company could be Xalles Holdings Inc. (OTC:XALL). The holding company, which is mainly involved in the financial services and innovative technology spaces, made a key announcement. Xalles Holdings announced that it had hit a major new milestone in its strategic growth path.

It was noted that on January 10, the company announced the establishment of its Florida-based subsidiary unit, ArtemisX Defense Inc., focused on the unscrewed systems sector. Yesterday, the company revealed that it had been successful in completing the sale of the subsidiary to SwtSpot LLC, a business division of the Marvina Case group of companies. The transaction had gone into effect on January 14 and would help propel SwtSpot to a leadership position in the defense technology space. The company did not reveal the exact value of the deal, but it was noted that it would provide Xalles with the opportunity to cash in on the multibillion-dollar autonomous defense sector.

In the news release, it was noted that the payments from SwtSpot to Xalles Holdings would be made in the form of quarterly installments. However, the installment amounts would be equal to 90% of the net profits earned by ArtemisX and go on until the entirety of the acquisition price is paid off.

The payment structure that had been decided upon by the two parties was a demonstration of the commitment of Xalles Holdings to generating value for the shareholders. The Chief Executive Officer of the company, Thomas Nash, noted that the transaction had been made for the purpose of retaining intellectual property as well as producing at Artemis Defense Technologies UK, a fully owned subsidiary unit of Xalles Holdings.