Life Clips, Inc. (OTCQB: LCLP) is a diversified business, which is engaged as a mobile phone accessory designer & seller, and a global sales and marketing services company. Shares of the multi-sector business are climbing 27.19%, through afternoon trading on Tuesday, April 25, 2017. Over the past month, Life Clips, Inc. has seen average daily volume of 982,939 shares. However, volume of 18.96 million shares or dollar volume of $265,440, has already exchanged hands on Tuesday.
Shares of Life Clips, Inc. are rallying on Tuesday, after the company announced it has entered into a one-year, royalty-free, distribution agreement with an unknown company. The non-exclusive distribution deal will allow Life Clips, Inc.’s Mobeego products to be offered in the Japanese market. Under the terms of the deal, the distribution company will pay 50% of each accepted order in advanced, and 50% upon delivery. Here is the full press release detailing of the Japanese distribution deal:
Life Clips, Inc. Press Release:
AVENTURA, FLORIDA–(Marketwired – Apr 24, 2017) – Life Clips, Inc. (LCLP) (the “Company”) a designer and seller of mobile accessories, and provider of global sourcing and sales and marketing services, announced today that it has entered into a royalty free, non-exclusive one-year contract with a distributor (the “Distributor”) to sell Mobeego products in Japan. The contract grants the Distributor the non-transferable right to promote, market and resell Mobeego products and will be automatically renewed for one additional year, provided the Distributor has performed all of its commitments and obligations. The terms of the contract require the Distributor to pay 50% of each accepted order in advance and 50% on delivery.
There were over 55 Million smartphone users in Japan at the end of 2016. According to an October 3, 2016 report published by Allied Market Research, the global mobile phone accessories market is expected to reach $107.3 billion by 2022. Market growth is expected to be boosted by the rise in sales of smartphones and increase in Internet penetration, popularity of apps, social networking websites, and customers increasing need for convenience, which can be delivered with mobile accessories such as power banks, headphones and cases and other accessories.
Huey Long, Life Clips, Inc. President and Chief Executive Officer, said, “We are proud to enter the Japanese market where commuting is a daily way of life for people going to work, school and performing other activities. Even children in the early grades of elementary school commute.” Mr. Long continued, “Accessing a place to charge your Smartphone can be a challenge and Mobeego is a solution to the problem. Our Mobeego one time use charger is an affordable single use, cordless battery that provides an instant shot of power for smartphones so our customers can stay mobile whenever and wherever they go. Once the battery is depleted, it can be recycled, or disposed of, and the user can simply buy a replacement battery.
Safe Harbor Statement
In addition to statements of current and historical fact, this Press Release contains forward-looking statements. The words “forecast,” “will,” “intend,” “anticipate,” “project,” “intend,” “expect,” “should,” “believe” and similar expressions are intended to identify forward-looking statements. Although we believe that we have a reasonable basis for each forward-looking statement contained in this Press Release, we caution you that these statements are based on a combination of facts and factors currently known by Life Clips and its projections of the future, about which it cannot be certain. These forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors, including those discussed in “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Life Clips’ annual report on Form 10-Q and quarterly reports on Form 10-Q filed with the Securities and Exchange Commission (the “SEC”), as well as matters discussed in Life Clips’ financial statements and related notes and other filings with the SEC, which may cause its actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Accordingly, all forward-looking statements should be evaluated with an understanding of their inherent uncertainty. Except as required by law, Life Clips assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future. All distribution agreements call for minimum quarterly quotas. There is a risk that the distributor will not meet these quarterly quotas. In the event the quotas are not met the agreements are in breech which could void the agreement. Therefore the dollar volumes may not be attained.