Holding company trading on OTC Markets, Small Business Development Group Inc (OTCMKTS:SBDG) has an active mandate of identifying and acquiring operating companies. It has a preference for Small and Medium Businesses in North America, especially those showing modest but predictable growth. Ideal candidates for acquisition have an enterprise value of at least $2 million and on the higher side, about $50 million with robust cash flows between $500 thousand and $5 million. The firm’s intent on acquisitions is to establish robust business fundamentals and also drive profitability and revenue growth. The goal of the company is to develop and align portfolio companies into high-performance industry verticals.
Trading Data
On Friday, SBDG stock fell 2% to $0.98 with more than 3.4K shares, compared to its average volume of 1.3K shares. The stock moved within a range of $0.8000 – 0.9800 after opening trade at $0.8999.
Update: Small Business Development Group (OTC: SBDG) Acquires Ubun2Group to Drive Revenue and Build Out AI-Driven M&A Platforms; SBDG Details Success of its Business Plan
Small Business Development Group Inc on July 28, 2022, announced in a letter to shareholders that the firm has acquired Ubun2Group Inc. An enterprise software solutions firm, Ubun2Group specializes in creating AI as well cloud-based enterprise solutions for businesses ranging from small to Fortune 500 companies. With a mission to integrate different facets of technology within the institution, Ubun2 aims to create efficient and sustainable solutions.
Roy Y. Salisbury, Small Business Development Group CEO and Chairman said that Ubun2’s track record of success is seen in the client list, including the State of California, Kaiser Permanente, Ricoh Electronics, General Motors, and Robert Half amongst other entities. Salisbury added that it is the third acquisition harnessing the Soft Leverage Buy-Out Model. Salisbury further stated that the company is building an M&A-focused holding company dedicated to shareholder value with a proper and defensible share structure.
Dave Witczak, CEO, Ubun2Group said that the firm is excited about the acquisition by SBDG as it has resources for fueling business growth. Witczak added that they are impressed by the skill, knowledge as well as achievements of SBDG team.
Brian Jue, Small Business Development Group Chief Operating Officer, and a Director said that Ubun2Group services will be given to all clients for adding value to the firms and Ubun2 will be the principal drivers of the new AI-driven M&A platform.
Scott Arnold COO and co-Founder of Ubun2Group said that AI will change each industry and create significant economic value, from healthcare to recruitment. Arnold added that enhancing customer experience and creating efficiencies can help in creating a game-changing solution for the M&A industry.
In a letter to shareholders, Salisbury wrote that SBDG is the best-kept secret in the micro-cap market. He added that the firm has refused on engaging in investor relations. Salisbury further stated that the management’s goal is to achieve a tipping point in the market, enabling investors to embrace the business thesis of best practices with financial fundamentals. He is confident that it would happen.
Ubun2’s has a track record of blending people, applications, IT, and business objectives through technology consulting and software development skills.
Technical Data
SBDG stock is trading above the 20-Day and 50-Day Moving averages of $0.9750 and $0.9735 respectively. Moreover, the stock is trading above the 200-Day moving average of $0.8876. The company has a total market capitalization of $7.74 million.
