SkyMall merges with Xhibit
SkyMall, the Phoenix-based specialty retailer and preferred partner in the loyalty marketplace, has merged into a subsidiary of Xhibit Corp. (OTCQB: XBTC), a leading provider of digital marketing and advertising solutions.
The combined companies will focus on the next generation interactive platform to provide the 650 million viewers of SkyMall’s and more than 135 million loyalty division members a comprehensive and enhanced client experience.
“SkyMall and Xhibit are a perfect match of innovation, marketing and technology,” said SkyMall CEO Kevin Weiss, who will serve as CEO of Xhibit Corp. “This merger enables SkyMall with significant opportunities to create heightened value for our partners and customers. With the help of Xhibit’s team, we look forward to expanding our industry-leading platforms around the world.”
The combination of Xhibit’s large digital media distribution network and SkyMall’s growing merchants and customer reach will create a world-class consumer merchandising and relationship platform. SkyMall’s catalog is currently available to 80 percent of U.S. domestic travelers. SkyMall is also the preferred loyalty partner provider to iconic enterprises in finance, gaming and hospitality verticals.
“We are excited to bring these two companies together,” said Chris Richarde, Xhibit’s founder, who will now serve as President of Xhibit Corp. “At Xhibit’s core, we have focused on building communities that link consumers with product and service providers while enhancing the purchasing process. We believe that our platform will enhance the shopping experience for SkyMall’s suppliers, customers and members.”
Najafi Companies, owners of SkyMall prior to the merger, will remain a major shareholder of Xhibit Corp. “Xhibit is a leading marketer and their industry expertise will give SkyMall a strong competitive advantage,” added Najafi Companies CEO Jahm Najafi. “This merger positions the combined company properly for continued growth both domestically and internationally.”
Xhibit has acquired all of the outstanding capital stock of the SkyMall parent for newly-issued shares of Xhibit common stock representing approximately 40 percent of the total outstanding shares of Xhibit capital stock. The transaction was structured as a merger of a newly-formed Xhibit subsidiary into the SkyMall parent, and was unanimously approved by the boards of directors of Xhibit and the SkyMall parent and by the shareholders of the SkyMall parent.