Scepter Holdings Merges with Ballengee Group in $47 Million Deal

Scepter Holdings, Inc. (OTC PINK:BRZL) has announced a definitive agreement to merge with BSG Holdings, LLC, in a deal where BSG Holdings will receive Scepter stock and seller notes valued at $47 million. This agreement entails Scepter acquiring all membership interests of the Ballengee Group, LLC, a sports management agency based in Dallas, Texas. This acquisition is aimed at bolstering Scepter's portfolio with an agency that has an EBITDA of approximately $4.7 million, a figure guaranteed by Ballengee Group's owners for the next three years.

The merger is contingent upon completing a reverse split and an increase in authorized shares, with expectations to close as soon as these conditions are met. Following the transaction, BSG Holdings is set to hold a controlling majority of Scepter's outstanding stock.

James Ballengee, owner of The Ballengee Group, commented on the synergy between Scepter's AdaptAI, a social media optimization software, and their sports agency, highlighting the opportunity to enhance revenue streams and personal brands for their athletes. Similarly, Adam Nicosia, CEO of Scepter, expressed enthusiasm for the merger, anticipating the integration of a sports agency with a significant influencer roster and Scepter's AI platform to position the company as an industry leader.