Highlights:
- Hype is a subscription-based mobile marketing platform designed to help small businesses grow in today's age of social media.
- Hype's software platform strengthens Alta's vision to convert 640 million MMA fans to participants by providing invaluable tools to our gym owner, coach, and athlete partners to not only grow their revenues, but also operate more efficiently, save costs and enhance the offerings to their members and community.
- This acquisition is expected to accelerate Alta's technology roadmap, bringing forward new subscription revenue opportunities to Alta, whilst creating cost synergies by materially reducing product development overhead and bringing valuable technology expertise, skills and talent into the business.
- Hype invested over $22 million in developing and launching its software platform.
- Hype has processed over $40 million in payments through its platform, collected over 4 million contacts for current and previous customers, and generates revenue from recurring subscriptions and payment processing fees.
SYDNEY, AUSTRALIA / ACCESSWIRE / May 14, 2024 / Alta Global Group (NYSE American:MMA) ("Alta" or the "Company") a pioneering technology company dedicated to transforming the landscape of martial arts and combat sports training proudly announces its strategic acquisition of Hype for an undisclosed sum.
Hype, previously funded by venture capital, had invested over $22 million in launching the Hype platform, creating a highly scalable digital marketing platform recognized for its remarkable product suite to help small businesses throughout the world grow in today's age of social media.
This innovative product seamlessly blends the functionalities of a mobile website builder, such as Linktree, with core email and SMS marketing capabilities of CRM systems like HubSpot, alongside an integrated payment system. Notably, this mobile-first solution caters perfectly to owner-operators who manage much of their business on their phones, ideal for combat sports gyms. Hype reimagines the future of multiple product categories simultaneously across a $100 billion+ market for small business software. Hype has processed over $40 million in payments through its platform, helped businesses collect over 4 million contacts and is currently generating approximately $200,000 per annum in recurring revenue.
Hype's state-of-the-art technology offers user-friendly tools tailored to boost revenue streams, particularly beneficial for small businesses like combat sports gyms. By integrating this technology into its existing platform, Alta estimates this transaction could accelerate its technology roadmap by at least 18 months, delivering many millions of dollars in technology capex and development cost savings, while reducing customer acquisition costs for Alta partner gyms.
Alta CEO and founder Nick Langton underscored the significance of the acquisition: "This acquisition represents a pivotal moment for Alta. To be able to put this technology in the hands of our valued gym partners we believe will be a game changer for them to grow revenues and more effectively engage with their members. We expect this transaction to materially accelerate Alta's mission to convert more fans to participants and drive more shared revenue opportunities. Under Nick Chen's leadership, the Hype team have created a market-leading platform that we believe is perfect for owner operators who run their businesses on their feet from their mobile. We believe this is the perfect tool to help combat sports gym owners supercharge their business."
Alta intends to distribute the Hype product offering across its extensive community of over 500 partner gyms and thousands of coaches and athletes globally across the Alta Platforms. We believe this acquisition presents a significant opportunity to launch a new SaaS offering for our gym, coach, and talent partners, further increasing the embedded revenue opportunity that exists from each gym, coach and talent relationship on our platform. Alongside Alta's existing product offering, the Hype products are expected to accelerate Alta's penetration into the substantial martial arts and combat sports market, with over 45,000 martial arts and combat sports academies in the US alone.
Moreover, Hype's technology solution extends well beyond the martial arts and combat sports sector, with proven utility and established customers, unlocking further opportunities to target small businesses globally, as well as the potential application to other local and community sports.
With Hype's expert team now joining Alta, the company gains invaluable in-house technology expertise, replacing the previously outsourced team and fortifying Alta's capability to deliver cutting-edge technology solutions for the combat sports sector without additional costs.
Langton concluded, "We are thrilled about the boundless opportunities that await us with the acquisition of Hype. With this team and technology, we are poised to redefine combat sports engagement and unlock new revenue streams for Alta and gyms across the globe."
For more information, visit Alta Global Group's corporate website at www.altaglobalgroup.com or for more information on Hype visit https://hype.co/
ABOUT ALTA GLOBAL GROUP LIMITED
Alta Global Group Limited is a technology company that is enabling the global martial arts and combat sports industry to maximize the monetization opportunities available to the sector by increasing consumer participation in the sport and building upon existing community offerings within the sector. While the Company believes martial arts and combat sport gyms have a superb in-gym product, they are ripe for transformation when it comes to building sales channels, enhancing customer onboarding, optimizing engagement and driving the growth and retention of members and membership revenues within their gym communities. For more information, please visit https://www.altaglobalgroup.com.
Forward Looking Statements
Statements in this press release about future expectations, plans, and prospects, as well as any other statements regarding matters that are not historical facts, may constitute "forward-looking statements." These statements include, but are not limited to, statements relating to the Company's operations and business strategy and the Company's expected financial results. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," "would" and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. The forward-looking statements contained in this press release are based on management's current expectations and are subject to substantial risks, uncertainty and changes in circumstances. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including the uncertainties related to market conditions and other discussed in the "Risk Factors" section set forth in the Company's registration statement on Form F-1 filed with the SEC. Any forward-looking statements contained in this press release speak only as of the date hereof, and, except as required by federal securities laws, the Company specifically disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise.
Investor Contact:
Dave Gentry
RedChip Companies, Inc.
C: 1-407-491-4498
T: 1-407-644-4256
E: MMA@redchip.com
SOURCE: Alta Global Group
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