Business Warrior Corp. (OTC: BZWR) has acquired Alchemy Technologies for $8.75 million, according to a statement by the company.
Business Warrior is a SaaS company that aims to help small businesses attract new customers. Alchemy is a Fintech Lending as a Service provider that enables users to manage the credit process and originate loans.
Alchemy has been purchased for $8.75 million including $2.25 million in cash and $5 million in preferred stock with a 7%, three-year cash dividend. Along with the deal, there is $450,000 in restricted common stock that will go to existing Alchemy employees that will vest over 24 months.
Business Warrior says the combination of Alchemy will boost its core marketing and lending software while expanding the company’s brand and services to meet global demand.
Alchemy Founder and CEO, Timothy Li, will join Business Warrior as the Global Head of Technology. Li is well known in the Fintech industry, having previously worked at JP Morgan Chase, Loan Depot, and Realty Mogul. Li has contributed to CI in the past as well.
Randy Schmidt, COO of Alchemy, will transition into the role of senior vice president of Alchemy and will lead its internal team moving forward.
Li said they are excited about joining Business Warrior describing the acquisition as providing Alchemy with the additional resources, tools, and capital to boost service to customers.
“Both companies believe small business owners are the lifeline of local communities. By bringing Alchemy and Business Warrior together, the positive impact on these communities is going to be worldwide.”
Business Warrior President, Jonathan Brooks explained that after working with Alchemy the massive potential of company became clear:
“With our Business Warrior platform, premium marketing, and now a global lending technology presence, we are building solutions that propel the success of small businesses.”
Alchemy is a global company with customers in six different countries and territories, the United States, Mexico, United Arab Emirates, Australia, United Kingdom and Puerto Rico. In 2021, Alchemy generated total revenues of $2.8 million. The company is on track to add additional revenue and projects full-year 2022 revenues to increase by 77% compared to 2021.
Alchemy will remain under its current brand name and will continue to support its clients and internal teams. Alchemy will become an independently managed subsidiary of Business Warrior.