- Xigem Technologies (XIGM) has signed an agreement with EAF Group of Companies to purchase all of the assets of EAFdigital for $892,450 in shares
- EAFdigital is an artificial intelligence-driven automobile shopping and delivery platform
- The transaction will support Xigem’s continued growth by integrating EchoDigital with Xigem’s other proprietary technology
- EchoDigital will be operated as a wholly-owned subsidiary of Xigem
- Xigem Technologies is a SaaS technology platform
- Xigem Technologies Corporation (XIGM) is down 30 per cent on the day, trading at C$0.07 per share at 9:35 am ET
Xigem Technologies (XIGM) has signed an agreement with EAF Group of Companies to purchase all of the assets of EAFdigital Inc. (EchoDigital) for $892,450.
EAFdigital is an artificial intelligence-driven automobile shopping, and delivery platform for the $1.5 trillion global used automobile market.
EchoDigital, a SaaS employing its proprietary AI, establishes and uses psychological aptitude to qualify a lead and seamlessly match it with the most suitable customer service/sales representative to complete the sale. EchoDigital is scalable, customizable and applicable to almost any CSR-dependent sales system.
“EchoDigital is an innovative technology platform that has demonstrated an ability to harness disparate sources of consumer data to drive tangible business results for the pre-owned automobile dealership it was developed by,” said Brian Kalish, co-founder and Chief Executive Officer of Xigem.
“With this transaction, Xigem is acquiring what it expects to be a stream of profitable revenue as well as the potential to drive further growth by integrating EchoDigital with Xigem’s other proprietary technology; and marketing the platform to other players in the pre-owned automobile market, and other industry verticals.”
EchoDigital currently supports the EAF GROUP, a vertically integrated automobile sales, leasing, servicing, finance and warranty provider. Echo Auto Group developed and began commercializing EchoDigital for its own use in 2018. Since then EchoDigital has acted as the sales engine for several of the EAF GROUP’s divisions, proving itself to be a cost-reduction and sales-driving tool. EchoDigital has been responsible for approximately 60 per cent of the EAF GROUP’s overall sales.
EchoDigital is projecting receiving gross royalties of approximately $8.2 million, resulting in net royalty revenues of approximately $0.3 million, on EAF GROUP sales for the calendar year ending December 31, 2023.
Xigem will purchase assets of EchoDigital for 8,924,495 common shares valued at $892,450.
Upon closing, EchoDigital will be operated as a wholly-owned subsidiary of Xigem. EAF GROUP will provide management services relating to EchoDigital, while EchoDigital will continue to support the sales efforts of the EAF GROUP for at least 10 years.
About Xigem Technologies Corporation
Established in Toronto, Xigem is positioned to become a leading technology provider for the emerging near trillion-dollar remote economy, with software capable of improving the capacity, productivity, and overall remote operations for businesses, consumers, and other organizations. iAgent, the Company’s patented technology, and FOOi, its proprietary peer-to-peer mobile payments app, are intended to provide organizations, businesses, and consumers with the tools to thrive in a vast array of remote working, learning, shopping and treatment environments.
Xigem Technologies Corporation (XIGM) is down 30 per cent on the day, trading at C$0.07 per share in early trading.
