Shares of Snipp Interactive Inc. (TSX-Venture:SPN) (OTCPK:SNIPF) are surging, albeit on low volume as the company announces that it has acquired all of the assets of Ziploop, Inc.
By combining two platforms, Snipp will increase its lead as the #1 receipt capture provider in the loyalty space, improving its ability to roll out larger format loyalty programs that feature a greater variety of programs.
The purchase price of the Acquisition is $500,000 U.S. (CAN$654,175) which has been paid in full by the issuance of 10,510,562 common shares at a price of CAN$0.062 per share. The acquisition is cost neutral for the Company and on the revenue side Snipp will inherit all of Ziploop’s existing contracts, along with the potential to re-engage prior Ziploop clients.
The assets acquired by Snipp for example will also enable the Company as part of its foray into new markets, to launch programs for manufacturers, retailers and dispensaries to acquire and retain key influencers who are becoming the bedrock of how new products are discovered and sampled by younger generations of shoppers.
"We are excited by this acquisition, primarily because we are gaining a brilliant platform built with state of the art technology. Snipp will not be adding any material costs in terms of infrastructure or its headcount, so this acquisition will be cost neutral for us" said Atul Sabharwal, CEO of Snipp.
As mentioned off the top, shares of SNIPF are popping on the news, however this was on minimal volume of 2,000 at last check. Shares of SNIPF are currently trading up $0.0101 or 15.56% at $0.075 as the stock looks to be bouncing off a near-term bottom around $0.04.
