GLOBE NEWSWIRE) -- DSG Global, Inc. (OTCQB: DSGT) ("DSGT" or the "Company"), a leader in global GPS, rapidly emerging Electric Vehicle market and new electric golf carts and is pleased to announce the company has retained ICON Capital Group to be the financial advisor and broker-dealer on a potential spinout of our wholly owned subsidiary Imperium Motor Corp. Potential structures can include an IPO, a merger with an existing NASDAQ company, or a SPAC merger.
The expectation is that DSG will remain a minority shareholder in the new entity and in addition, the Company intends to dividend out to the current shareholders of record (on a TBD record date) a portion of the shares in the new entity and ongoing annual dividends. By doing so, the new entity will have a unique, deep shareholder base, unlike many new listings trading on national exchanges. Management of Imperium will stay in place and a recruiting initiative for a North American automotive executive to head the public entity is underway.
“We are pleased to secure Icon Capital Group as our financial advisors to facilitate the transaction and guide the company to the best path to unlock shareholder value. We believe our story has not been properly digested in the marketplace, undervalued, and realizing our EV business needs to be appropriately scaled as a stand-alone company therefore enjoying the publicity it deserves. Also, DSG’s Imperium Motor Company had substantial additional expenses incurred by DSG Global that will be off the books and capturing full repayment of all expenses. With the recent legislative tail wind for EVs because of the Inflation Reduction Act just passed in the US, we feel like this is the proper time to make a concerted effort to ensure value for our shareholders and allow DSG management to focus on our core GPS and Golf Cart business, both of which are experiencing tremendous growth. These favorable market conditions and our unique business model inside of Imperium is truly differentiating and will be well received as a stand-alone entity. As an exclusive distributor for North America for high quality EV’s requires considerably less capital than most EV companies in the public space, and financial resources can be dedicated to marketing and sales that drive immediate revenue. We intend to have vehicles through homologation and ready for delivery in the coming months.” said Bob Silzer, CEO DSG Global Inc.
The EV industry is poised for substantial and sustained growth. Electric vehicles will account for about half of auto sales in the world’s major markets by 2030 as sticker prices reach parity with gasoline-fueled cars, according to a survey of automotive executives.
EVs will make up 52% of the U.S., Japanese and Chinese markets and 49% of Western Europe, according to average estimates in the survey of more than 1,000 global automotive leaders released in November 2021 by consultant KPMG. The significant uptake from less than 10% of the global market now will be driven by battery-powered models achieving a cost equal to vehicles propelled by traditional internal combustion engines, the executives predicted.
“We are excited to be working with Bob and his team at DSG Global, Inc. to find the most effective way to position Imperium Motors in the EV space” said ICON Capital Group President/CEO John Calicchio. “We feel that there is a compelling story to tell that will allow Imperium to make an impact”.
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