Prosmart Partners with Leading Sports Marketing Company in China
Momentum Public Relations
Press Release: March 27 2018
ProSmart Enterprises Inc. (TSXV:PROS) (“ProSmart” or the “Company”), a global online network, connecting sports fans, teams and brands, is pleased to announce a two-year marketing and services partnership (the “Agreement”) with Dragon Group Asia (“DGA”). This follows the Company’s recent acquisition of DL Hockey (see news release dated March 05, 2018), which operates hockey clubs and skills camps in China. DGA – a specialist sports marketing company in China that works with some of the world’s biggest brands – will develop a WeChat app that integrates with ProSmart’s online network. Importantly, this initiative will accelerate mass-market access in China, to ProSmart’s industry-leading, sports education system and team management suite. In effect, the new sports development WeChat app will position ProSmart as a premier gateway for youth development to educational companies around the world to leverage to gain access to the Chinese market. The timing of this deal is considered a strong advantage since China is currently implementing a multi-billion dollar Winter sports program, prior to hosting the 2022 Winter Olympics.
News Highlights
- ProSmart is partnering with a leader in China’s booming sports marketing industry
- The ProSmart online network will be integrated with a specialized website and WeChat app
- WeChat is China’s most popular social media app, with over 1 billion monthly active users
- With the upcoming 2022 Winter Olympics, China is spending billions on winter sports development and is hungry for sports education content – which ProSmart specializes in.
The WeChat app is a critical milestone for ProSmart’s expansion into China. WeChat is the most popular multi-purpose social media app in China, with 980 million monthly active users (MAU) and is the most effective method for engaging the estimated 1.4 billion Chinese sports fans and players. China’s sports industry – already estimated at 1.5 trillion yuan (US$240 billion) in 2016, is forecast by the Bank of China to more than triple by 2025, to a total of 5 trillion yuan (US$800 billion).
Alan Schuler, co-founder and CEO of ProSmart says, “DGA is operating at the very top of its field in China’s huge and rapidly-growing sports industry. This partnership is going to greatly accelerate our entry into China, enabling us to engage one of the most dynamic sports markets in the world.”
Johanna Hoopes, CEO, of DGA commented, “China is spending billions of dollars on winter sports development in preparation for hosting the 2022 Olympic Winter Games. This includes hundreds of new ice rinks, hiring top coaches and trainers from North America and energizing the entire country in support. One of ProSmart’s critical advantages is the unique sports education content it has created, using Olympic medalists, Hall of Fame star players, coaches and professional athletes. China is hungry for precisely this sort of content and, by integrating the ProSmart online network with China’s top social media app, we are tremendously excited about the potential rate of growth.”
About Dragon Group Asia (http://dragongroup.asia/)
Dragon Group Asia is a fast-growing marketing agency, operating from the heart of Shanghai. Combining creative thinking with inventive event and media expertise, the consultancy provides a wide range of services, from digital strategy, mobile app development and social media to communications and partnership development. DGA clients include the biggest brands in the world in sports, real estate, entertainment, hospitality and consumer electronics, including the NFL, EA Sports, The Pac-12 Conference, Unilever, Jones Lange Lasalle (JLL) and Under Armour.
About WeChat (https://web.wechat.com/)
WeChat (called Weixin in China) is the most popular social media app in China. It is a multi-purpose application with features including video chat, voice calling, SMS, mobile commerce (WeChat Pay), brand channels, geolocation searching (Shake), QR code scanning, games, blog posts and emoticons/stickers. The average Chinese mobile user is on WeChat over four hours per day. WeChat recently completed a successful Chinese New Year “Red Envelope” program, where users sent red envelopes (money) to other’s accounts – over 40 million envelopes were sent, worth hundreds of millions of dollars. WeChat was developed and is owned and operated by Tencent.
On behalf of ProSmart Enterprises Inc.
Alan Schuler
Co-Founder & Chief Executive Officer
About ProSmart Enterprises Inc.
ProSmart (TSX-V:PROS) is a global online network connecting sports fans, teams and brands and is an emerging leader in sports content marketing through online tools and mobile apps. ProSmart works with over 1,500 governing bodies in more than 100 countries and provides unprecedented access to the $1.3 trillion sports market through its proprietary marketplace engine. ProSmart is also the first-and-only company to provide educational content created exclusively by hall-of-fame and professional athletes, which has been a key driver in building the company’s online network and connecting with youth, amateur and professional sports fans and players. ProSmart is a publicly traded company listed on the TSX-V.
For more information on ProSmart and its platforms, please visit the following links:
ProSmart Inc.: http://prosmartinc.com
RosterBot Inc.: http://rosterbot.com
ProSmart Hockey: http://prosmarthockey.com
ProSmart Football (Soccer): http://prosmartfootball.com
Stay connected with ProSmart by following us on:
LinkedIn (www.linkedin.com/company/prosmartsports)
CrunchBase (www.crunchbase.com/organization/prosmart-sports-development-inc)
AngelList (www.angel.co/prosmart-sports-development)
For further information please contact:
Ty Summach, Chief Operating Officer
t: 1-844-927-6278 ext. 103
e: investment@prosmartsports.com
The shares of ProSmart Enterprises Inc. trade publicly on the TSX Venture Exchange under the symbol TSXV:PROS.
“Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.”
To view the original release, please click here
Source: ProSmart Enterprises Inc. (TSX Venture:PROS, FWB:1R6)
To follow ProSmart Enterprises Inc. on your favorite social media platform or financial websites, please click on the icons below.
- Published in Prosmart Enterprises
ProSmart to Acquire DL Hockey in China
Momentum Public Relations
Press Release: March 5 2018
ProSmart Enterprises Inc. (TSXV:PROS) (“ProSmart” or the “Company”), a global online network, connecting sports fans, teams and brands, announces it has entered into a binding agreement (the “Agreement”) to acquire all of the issued and outstanding shares of DL Hockey Consulting (Shenzhen) Limited and DL Hockey Consulting Limited (combined, “DL Hockey” and the “Acquisitions”). DL Hockey operates a hockey club and skills camps in China, where 650 skating rinks are being built as part of its winter sports development plan in the run up to their hosting of the 2022 Winter Olympics. Of additional note, DL Hockey has built a national network of key hockey development relationships in China, which is one of the world’s largest and fastest-growing sports markets.
News Highlights
- ProSmart is acquiring DL Hockey – a well-established brand and operator of a hockey club and skills camps in China
- China is building 650 skating rinks in preparation for the 2022 Olympic Winter Games
- Chinese sports industry estimated to more than triple its US$223B (2016) value by 2025 (Bank of China report, 2017)
- Acquisition will provide ProSmart with instant access to China’s hockey community and industry as part of a trusted, established brand
ProSmart, which provides unprecedented access to the $1.3 trillion sports industry, works with over 1,500 governing bodies in more than 100 countries. With this acquisition, the Company will have successfully expanded its network into the Chinese sports market which, according to a 2017 Bank of China report, was estimated to be worth 1.5 trillion yuan (US$223 billion) in 2016 and on track to reach 5 trillion yuan by 2025.
Alan Schuler, Co-founder and CEO, states, “This is a highly-strategic deal which comes at a time when China’s Winter Olympics development plans have sent the sports industry into overdrive. DL Hockey has a strong, established presence in China and has built a tremendous reputation. This acquisition allows us to quickly and seamlessly integrate with China’s hockey community and industry which is expanding at an incredible rate. With over 65% of the population identifying themselves as sports fans, China has one of the largest sports markets in the world. With ProSmart’s global online network, unique content and unprecedented marketing platform, this acquisition has the potential to deliver considerable value for ProSmart shareholders and is part of our push into the Chinese market.”
ProSmart will retain the DL Hockey School brand and run hockey development programs under this banner. The company is now well positioned to leverage the momentum and credibility built by DL Hockey to expand ProSmart programs nationally in conjunction with the rapidly-growing community of rink developers and burgeoning hockey markets in China.
Says Doug Lynch, founder of DL Hockey, “I am extremely excited about joining the ProSmart family. The vision that Alan and senior management have created, aligns with my beliefs on the importance of youth sports for children of all ages. In a short time, I have truly connected with the players in our club, their families, as well as the Chinese culture. I remain dedicated to growing, not only hockey, but all other sports in China. The ProSmart learning platform is revolutionizing youth sports as well as training youth coaches and I feel grateful to be a part of the journey.”
About the Acquisitions
DL Hockey was founded by, and is wholly-owned by Doug Lynch, a former professional hockey player. DL Hockey has developed a national network of key hockey development relationships dedicated to the growth of hockey in China. With an impeccable reputation for operating highly effective hockey development camps, DL Hockey is a leading hockey growth organization in China.
Upon completion of the Acquisitions, Doug Lynch will join ProSmart as Vice President of Business Development in China and will be responsible for strategic leadership and operations of the Company’s China operations, including the growth of DL Hockey Schools nationally. Part of his compensation will be tied to a number of pre-established performance metrics.
Doug Lynch will collaborate with arena development partners to position ProSmart as the leading hockey development system in China. He will also collaborate with sponsors, brands, growth partners, and develop revenue opportunities designed to increase the growth of DL Hockey, ProSmart’s Chinese brand and ProSmart Enterprises Inc., its Canadian parent company.
The Agreement was signed on February 27, 2018 and the Acquisitions are expected to close on March 15, 2018 (“Closing”) and is subject to the approval of the TSX Venture Exchange and ProSmart’s Board of Directors. The purchase price is US$86,250 payable in ProSmart common shares (“Shares”) at a Share price equivalent to the ten (10) trading day volume-weighted average closing price of the Shares on the TSX Venture Exchange immediately prior to the public announcement of this Agreement. The Shares will be held in escrow or in a pooling agreement and will be released in equal quarterly installments over the 36 months following closing of the acquisition. The first installment will be released at Closing. This is an arms-length transaction with no finder’s fees involved.
Further Information About the Chinese Sports Market
The Chinese sports market is a massive opportunity for ProSmart:
- In a national strategy spearheaded by the General Administration of Sport, China plans to build 100 towns dedicated as centers of sporting excellence for various disciplines in coming years.
- According to market consultancy, Analysis, the total revenue generated from sponsorship, broadcasting and fan spending on winter sports events is expected to reach 160 billion yuan (US$26 billion) by 2025.
On behalf of ProSmart Enterprises Inc.
Alan Schuler
Co-Founder & Chief Executive Officer
About ProSmart Enterprises Inc.
ProSmart (TSX-V:PROS) is a global online network connecting sports fans, teams and brands and is an emerging leader in sports content marketing through online tools and mobile apps. ProSmart works with over 1,500 governing bodies in more than 100 countries and provides unprecedented access to the $1.3 trillion sports market through its proprietary marketplace engine. ProSmart is also the first-and-only company to provide educational content created exclusively by hall-of-fame and professional athletes, which has been a key driver in building the company’s online network and connecting with youth, amateur and professional sports fans and players. ProSmart is a publicly traded company listed on the TSX-V.
For more information on ProSmart and its platforms, please visit the following links:
ProSmart Inc.: http://prosmartinc.com
RosterBot Inc.: http://rosterbot.com
ProSmart Hockey: http://prosmarthockey.com
ProSmart Football (Soccer): http://prosmartfootball.com
Stay connected with ProSmart by following us on:
LinkedIn ( www.linkedin.com/company/prosmartsports )
CrunchBase ( www.crunchbase.com/organization/prosmart-sports-development-inc )
AngelList ( www.angel.co/prosmart-sports-development )For further investor information please contact:
Ty Summach, Chief Operating Officer
t: 1-844-927-6278 ext. 103
e: investment@prosmartsports.com
The shares of ProSmart Enterprises Inc. trade publicly on the TSX Venture Exchange under the symbol TSXV:PROS.
“Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.”
To view the associated document to this release, please click on the following link:
public://news_release_pdf/ProSmart03052018.pdf
To view the original release, please click here
Source: ProSmart Enterprises Inc. (TSX Venture:PROS, FWB:1R6)
To follow ProSmart Enterprises Inc. on your favorite social media platform or financial websites, please click on the icons below.
- Published in Prosmart Enterprises