News & PR

Acquisition of Cessil

On 2/17/2023, Labwire acquired Cessil, a Phoenix-based discount store with multiple locations, for $1,000,000 in equity deal. Mr. Jong Jin Chung, the owner of Cessil, will stay with Labwire managing a day-to-day operation and plans to expand locations in Phoenix metropolitan area. He plans to join the executive team near future and stays as a long-term shareholder of Labwire.

The company and the board reviewed and approved this acquisition as Cessil met its strict criteria which include i) private company valuation multiples, ii) a strong track record of operational performance, iii) a strong management team with industry expertise, and iv) share Labwire’s long term plan of building its shareholder’s value.

 

Labwire’s 2023 Business Outlook

With a recent acquisition of Cessil, the company is estimated to generate $1.8M in revenue with a positive cash flow. This projection does not include any other effort in a capital raise as well as the additional acquisition or a successful launch of pre-revenue projects. The management believes that it is the best practice to provide updates on the items that have been realized and to stay conservative in its outlook. Creating hype not only harms existing shareholders but also new shareholders who may invest in the company with unrealistic expectations.

 

Change of Control

Mr. Shin Hwang, a managing director of Imperium Partners, LLC., took a control of Labwire by acquiring 100% of Series A Preferred Stock issued and outstanding. With his holding at Labwire, he controls 60% of the fully diluted voting of the company.

 

Appointment of New Management and Board of Directors

Mr. Shin Hwang has been appointed as President & CEO of the company. Previously, Mr. Hwang held management positions at Precipio, Inc (NASDAQ: PRPO), Osiris Corporation, BR Consulting as well as Flower Tech. Mr. Hwang began his career as an analyst at Cornwall Capital and respectively holds a B.A. in applied mathematics with statistics from the University of California at Berkeley.

 

Mr. Bob Welty has been appointed as a Director of the Board. Mr. Welty is a founding partner and creative director at ROWE Creative Union. Mr. Welty is a veteran of the retail design industry with deep expertise gained from working with Fortune 500 and start-ups to bring their passion projects to life. Over his 25+ years of consulting, he has partnered with top brands such as Target, CVS, Whole Foods, Samsung, Shinsegae, Starbucks, Walmart, and Lowe’s to name a few.

 

Mr. Hwang states, “I was very fortunate to share this opportunity with Mr. Welty and Mr. Chung, and they were excited taking this to help small businesses to grow as competitively as large corporations. Though there are many obstacles on the way, I think we have a good intangible asset from our team to make it happen.”

 

About Labwire, Inc.

Labwire (https://www.labwire.co) is an early-stage retailer connecting a dot between a traditional mom-and-pop shop with a single location in a low-technology environment to a national wide branded business presented in both offline and online. With our expertise in interior design, e-commerce, and capital market, we believe our business model helps small businesses to be more competitive and more affordable to consumers. For any questions, please contact the company at labwireinvestors@gmail.com.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and any such forward-looking statements. Except for historical information, statements about future volumes, sales, growth, costs, cost savings, margins, earnings, earnings per share, diluted earnings per share, cash flows, plans, objectives, expectations, growth or profitability are forward-looking statements based on management’s estimates, beliefs, assumptions and projections. Words such as “could,” “may,” “expects,” “anticipates,” “will,” “targets,” “goals,” “projects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “predicts,” and variations on such words, and similar expressions that reflect our current views with respect to future events and operational, economic and financial performance, are intended to identify such forward-looking statements. These forward-looking statements are only predictions, subject to risks and uncertainties, and actual results could differ materially from those discussed. Important factors that could affect performance and cause results to differ materially from management’s expectations or could affect the company’s ability to achieve its strategic goals.

The company’s forward-looking statements in this press release are based on management’s current views, beliefs, assumptions and expectations regarding future events and speak only as of the date of this release. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by the federal securities laws.