Jeffs’ Brands Ltd (NASDAQ: JFBR) shares moved sharply lower Tuesday. The data-driven e-commerce company operating on the Amazon Marketplace reported its wholly-owned subsidiary, Smart Repair Pro, entered on Monday into a definitive agreement to acquire Pure NJ Logistics LLC, a company that operates a strategically located approximately 100,000 square foot logistics center equipped with 20 loading docks in New Jersey. The acquisition is anticipated to significantly enhance the Company’s supply chain capabilities.
Situated near the third largest port in the United States, as well as in close proximity to Newark Liberty International and John F. Kennedy International Airports, the logistics center is ideally positioned to support Jeffs’ Brands’ rapid growth and expansion strategy and to provide services to third parties. The center’s strategic location has the potential to facilitate efficient transportation and logistics operations, vital for maintaining the speed and reliability needed in today’s fast-paced e-commerce environment.
Under the terms and subject to the conditions of the Agreement, Smart Repair Pro will acquire 100% of the issued and outstanding equity interests of Pure Logistics from its current holders. in consideration for a base payment of $2,100,000 and a deferred payment of $500,000.
The Base Payment will be made in cash at the closing of the acquisition.
JFBR shares lost 14 cents, or 9.9%, to $1.28.
