Business
Starfleet Innotech Signs LOI to Acquire PPM Toys
Starfleet Innotech Signs LOI to Acquire PPM Toys.
About this update from Starfleet Innotech Inc.
[{"type":"text","content":"\n NEW YORK, June 29, 2022 (GLOBE NEWSWIRE) -- Starfleet Innotech, Inc. (OTC Pink: SFIO) announced today it has entered into an agreement with North America-based toy manufacturing and licensing powerhouse PPM Toys to jointly explore an acquisition towards accelerating both companies’ global growth efforts. Through this partnership, formalized with a signed Letter of Intent, SFIO will be pursuing a majority ownership interest in PPM Toys, supporting the company’s continued growth into international markets, through traditional channels as well as in the fields of e-commerce and non-fungible tokens (NFTs). Revenues from these initiatives are expected to reach roughly $2.7 million in 2022, growing to $8 million in 2023. PPM Toys is a US-based B2B company, with headquarters in Monterrey, Mexico as well as offices in Hong Kong, that specializes in the commercialization, development, and distribution of toys and electronic entertainment. PPM Toys has led these fields for over 35 years generating over $100 million in revenue, selling 75 million toys for brands including Barbie (Mattel), Tonka, Peanuts, Hasbro properties, and Warner Brothers properties. PPM counts regional giants such as Walmart, Amazon, Mercado Libre, Liverpool, and Coppel (Mexico's largest department store chain) among their clients. Latest studies from Rockville Research shows that over the past several years, the global toys industry has witnessed a rapid increase in market penetration of licensed toys. In the majority of developed markets, nearly one-third of toys are sold from licensing agreements. The growth of the global licensed toys market is attributed in large part to the release of blockbuster franchise movies, higher demand in emerging markets, increasing market penetration of smartphones, as well as growing expenditure on toys all over the world. The global toys industry is expected to reach a valuation of $249.6 billion by 2027. “We are deeply impressed with PPM Toys’ 35-year history in the toy industry, manufacturing and licensing popular toy lines from the world’s top brands. We are confident that our presence in multiple regional markets, as well as our tech development capacities will help the company grow even further,” said Richard De Lima, Chief Investment Officer of SFIO. In addition to forging this relationsh...