Irvine, CA (PRWEB) October 06, 2015
XFit Brands’ roots are grounded in Mixed Martial Arts (MMA), the world’s fastest growing sport, and other action sports and culture. Throwdown®, XFit’s MMA division, has been a supplier of cages, bags, gloves and protective equipment to major fight leagues, UFC Gyms, and other major gym operators for more than 10 years. Recently, XFit expanded beyond its MMA roots to include functional fitness equipment and accessories under the XFit® brand and programming with its Transformations™ brand. XFit Brands is seeking to position itself to capitalize on a sector it believes is highly fragmented and missing a clear global leader and supplier.
OfferBoard Securities, a technology enabled, full service investment banking group and registered broker-dealer is raising a $2 million common stock round to allow XFit to fulfill its current orders, expand its inventory, and capitalize on their brand portfolio. “The exciting and historic aspect of this collaboration is that XFit Brands may be the first publicly listed and fully reporting company to raise capital through a 506(c), solicited private placement, under Title II of the Jobs Act”, stated XFit Brands’ CEO, Dave Vautrin. According to the lead banker, Andre Peschong, “This offering is significant as it will allow accredited investors the ability to have a defined path for liquidity* through the public markets. This has been a big challenge for investors that deploy capital into both private and crowdfunded companies.”
The market in which XFit Brands competes is rapidly growing with no clear global brand or product leader, and mostly smaller entrepreneurial companies competing in the sector. According to research from the International Health, Racquet and Sportsclub Association (IHRSA), sporting good revenues eclipsed $147 billion, $65 billion of which is in the US alone, and the global gym and fitness outlet reached $78 billion in revenue in 2014.
Fueling this growth are long-term positive trends, including addressing obesity issues in many countries, a shift toward prevention versus treatment, and a renewed expanding focus on exercise and healthy lifestyles. As a result, the health club industry now extends beyond its traditional structure to now include CrossFit, MMA, boxing, yoga, spin and cycling, and other high and low-impact workout regimens. Evidence of the shift can be found in a five-year IBIS World report from 2008 to 2013 that witnessed an increase of health club memberships by 4.9 million for a total of 52.6 million. XFit Brands has addressed the growing trend by supplying operators with its full portfolio of products, allowing a one-stop-shop for major gym and fitness operators that have enabled it to achieve revenue growth of nearly 45% compound annually and distribution now across more than 20 countries.
Over the past few years, XFit has been developing its organizational capabilities and infrastructure to enable it to scale and accelerate growth. As part of those efforts they have assembled an accomplished senior leadership team led by CEO David Vautrin, previously Senior Vice President of Marketing and Innovation for Cott, the 4th largest non-alcoholic beverage company in the world, and Executive Chairman Brent David Willis, former AB InBev and Chief Commercial Officer and Zone President.
To learn more about XFit Brand's capital raise, please visit its offering page at http://www.offerboard.com/XFT.
About XFit Brands®
XFit Brands, Inc. designs, develops, and markets and sells functional equipment, training gear, apparel, and accessories for the impact sports market and fitness industry worldwide. The Company’s mission is to become the leading developer and marketer of functional fitness brands and products at retail and fitness outlets worldwide. The Company’s products span the Impact Sports, Mixed Martial Arts (MMA), High and low impact fitness and Cross Training, and other Action Sports and are marketed and sold under the Throwdown®, XFit Brands®, and Transformations™ brand names. The Company’s products are marketed and sold through gyms, fitness facilities, and direct to consumer throughout the world. The Company’s websites are http://www.xfitbrands.com and http://www.throwdown.com.
OfferBoard Securities is a national investment bank and broker dealer with an equity funding platform, headquartered in Princeton, New Jersey. OfferBoard Securities advises private companies raising $2 to 200 million in capital, including mergers, acquisitions, and divestitures. The OfferBoard team is backed by more than 75 years of experience from companies including Second Market, Goldman Sachs, JP Morgan Chase Bank and the Asian Development Bank, among others. OfferBoard Securities is a member of FINRA/SIPC. OfferBoard's website is http://www.offerboard.com
For detailed inquiries about XFit’s capital raise, please contact Andre Peschong (Apeschong(at)offerboard(dot)com)
For more information about OfferBoard, please contact Michael Smith (Msmith(at)offerboard(dot)com)
Safe Harbor Disclosure
This press release contains forward-looking statements that are made pursuant to the safe harbor provisions within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts, such as statements regarding our future financial condition or results of operations, our prospects and strategies for future growth, the implementation of our marketing and branding strategies, and the future benefits and opportunities from acquisitions. The forward-looking statements contained in this press release reflect our current views about future events and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause events or our actual activities or results to differ significantly from those expressed in any forward-looking statement. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future events, results, actions, levels of activity, performance or achievements. Other important risk factors that may affect the Company’s business, results of operations and financial position are discussed in its most recently filed Quarterly Report on Form 10-Q and in other Securities and Exchange Commission filings. The forward-looking statements contained in this press release reflect our views and assumptions only as of the date of this press release. Unless required by applicable law, we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events.
*”Liquidity” means how easily you can sell a stock without the transaction affecting the current stock price. Liquidity risk is high if there are no buyers for your shares at the current price, and you have to wait a long time to sell your shares, or have to accept a lower price. Liquidity risk is high in the over-the-counter market because of the way it’s structured.
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