Business
Purple Innovation Acquires Intellibed
Combination Expands Distribution, Unifies Intellectual Property and Broadens Product Offerings LEHI, Utah, Sept. 1, 2022 /PRNewswire/ -- Purple Innovation,
About this update from Purple Innovation, Inc.
[{"type":"text","content":"Combination Expands Distribution, Unifies Intellectual Property and Broadens Product Offerings\nLEHI, Utah, Sept. 1, 2022 /PRNewswire/ -- Purple Innovation, Inc. (NASDAQ: PRPL) (\"Purple\" \"Company\"), a comfort innovation company known for creating the \"World's First No Pressure® Mattress,\" today announced its acquisition of Advanced Comfort Technologies, Inc., known as Intellibed, a premium luxury gel-based mattress manufacturer pursuant to a merger agreement under which Intellibed merged with a subsidiary of Purple, with Intellibed surviving as a subsidiary of Purple. The merger consideration to Intellibed securityholders is 8 million shares of Purple's Class A common stock, subject to customary working capital and other adjustments. Pursuant to the terms of the merger agreement, Purple may issue an additional 1,500,000 shares of Class A common stock to Intellibed securityholders depending upon the price of the Class A common stock over the next 18 months.\n\n \n \n \n \n \n \n\n \nIntellibed is a premium sleep and health wellness company, with approximately $50 million in revenue in 2021, offering gel-based mattresses scientifically designed for maximum back support, spinal alignment and pressure point relief. The Intellibed product line is highly complementary to Purple's current offering and in addition to strengthening Purple's revenue base, the acquisition is projected to be non-dilutive to earnings per share.\n\"Intellibed is an excellent fit for Purple,\" said Rob DeMartini, Chief Executive Officer of Purple. \"Intellibed has licensed certain aspects of our gel technologies for many years, therefore this acquisition allows us to consolidate our IP under one roof while at the same time enhancing Purple's manufacturing capabilities and financial profile. Additionally, Intellibed's premium market position allows Purple to accelerate its product development schedule by several years and immediately address the more luxury, higher-margin segment of the sleep and wellness industry. We are excited about the combined potential of our two organizations.\"\nScott Peterson, Chairman of the Board of Intellibed, added, \"Intellibed is joining forces with one of the most respected sleep innovators in the industry. This merger provides Intellibed with a great opportunity to reach a much broader consumer audience through Purple's l...