NewtekOne and Paltalk Set for Major Acquisition Call Ahead
Overview of the Upcoming Conference Call
NewtekOne, Inc. (NASDAQ: NEWT) and Paltalk, Inc. are gearing up to host an important conference call on January 2, 2025, to address the expected closing of the acquisition of Newtek Technology Solutions, Inc. by Paltalk. This acquisition, proposed as a strategic move, has been approved by Paltalk’s shareholders, emphasizing its significance in their growth strategy.
Details of the Acquisition
In the deal, Paltalk will make a notable cash payment of $4 million to NewtekOne, in addition to issuing 4 million shares of a newly developed series of preferred stock. These elements form the Closing Consideration and highlight Paltalk's commitment to this acquisition. Moreover, NewtekOne stands to benefit further through potential earn-out amounts that could reach up to $5 million, contingent on meeting specific financial performance targets in the coming fiscal years.
Strategic Implications for NewtekOne
Following this transaction, NewtekOne plans to ensure that its entire IT infrastructure remains securely managed by the experienced team from Newtek Technology Solutions. This decision reflects NewtekOne's intent to maintain operational consistency and leverage the existing workforce for optimal outcomes.
Paltalk's Future Branding
Post-acquisition, Paltalk is expected to undergo a significant rebranding and will transition its name to Intelligent Protection Management Corp, with a corresponding change of its stock symbol to "IPM". These changes indicate a shift in focus as the company aligns its identity with new strategic objectives.
Logistics of the Conference Call
The conference call, set for 4:15 pm ET on January 2, 2025, will be hosted by the executive leaders of both companies. Barry Sloane, CEO of NewtekOne, and Jason Katz, CEO of Paltalk, will lead the discussion, providing insights into the implications of this acquisition for stakeholders and the trajectory of both companies.
Participants who are interested in joining the call are encouraged to pre-register online ahead of time, ensuring they receive the necessary dial-in information. A replay of the session is anticipated to be available on NewtekOne's website shortly after the live broadcast, catering to those unable to attend live.
About NewtekOne, Inc.
NewtekOne, Inc. is recognized as a leading financial holding company that offers a range of business and financial solutions under the well-known Newtek brand. Since its establishment, NewtekOne has focused on assisting small to medium-sized businesses with superior products and cost-effective operations. Their offerings cover various sectors, including Business Lending, Technology Solutions, and many other critical services designed to empower independent business owners across the country.
About Paltalk, Inc.
Paltalk is a pioneering force in communications software, specializing in multimedia social applications. The company has an extensive history of innovation, underscoring its commitment to technology advancement with numerous patents. Paltalk's platform is designed to enhance user interaction and connectivity in a rapidly evolving digital landscape.
Frequently Asked Questions
What will be discussed in the conference call?
The conference call will focus on the details surrounding the acquisition of Newtek Technology Solutions by Paltalk, along with future strategic directions of both companies.
How can I participate in the conference call?
Interested individuals should pre-register online to receive the dial-in information for the call.
What are the financial details of the acquisition?
Paltalk will pay NewtekOne $4 million in cash, alongside the issuance of 4 million shares of preferred stock, with potential earn-outs also considered.
What changes are anticipated for Paltalk after the acquisition?
Paltalk plans to rebrand as Intelligent Protection Management Corp while also changing its stock symbol to "IPM" following the acquisition closure.
Who will lead the conference call?
Barry Sloane from NewtekOne and Jason Katz from Paltalk will be the key speakers during the conference call.
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