Xspand Products Lab and Strategic Partner, Edison Nation LLC, Provide Business Update
Xspand Products Lab Recently Announced They Would Acquire Edison Nation; Expected to Close in August 2018
PHILLIPSBURG, N.J., July 26, 2018 (GLOBE NEWSWIRE) -- Xspand Products Lab, Inc. (“Xspand”) (the “Company”), a full-service product development company, and its strategic partner, Edison Nation, LLC (Edison Nation)—which the Company intends to acquire in August 2018—has provided a business update.
Edison Nation (www.EdisonNation.com) is an open innovation platform that enables inventors from around the world to submit ideas for potential consumer and medical products. On average, Edison Nation’s online platform receives 50-75 submissions per day. Using this business model, Edison Nation offers a capital-lite, high-reward process that accelerates product development timelines and significantly reduces research and development expenses.
Click here for a brief video interview discussing the recently proposed acquisition with Chris Ferguson, Founder and CEO of Xspand Products Lab, and Louis Foreman, Founder and CEO of Edison Nation.
Edison Nation recently engaged with Church & Dwight, BLACK+DECKER and Worthington Industries who are seeking new innovative products to acquire. For each partner, Edison Nation will launch a specific, sponsored, innovation search to aggregate ideas from its worldwide inventor community that results in highly relevant submissions, while expediting the go-to-market lead times. Ideas are then evaluated and presented to the sponsor for licensing consideration, with pre-determined royalty rates.
“By leveraging Edison Nation’s platform, we are able to source hundreds of innovative ideas via the power of the general public and our growing community of innovators,” said Chris Ferguson, CEO of Xspand Labs. “With over 300 innovation campaigns successfully managed by Edison Nation, we are continuously receiving consumer product ideas that fill a void in the market. Our customers use Edison Nation as a ‘think engine’ to develop targeted products, significantly reduce R&D expense, and expedite their time to market. If selected, our inventors from around the world are able to generate income through their idea submissions by bringing their innovative product ideas to market at light speed, while maximizing its sales potential with established companies.”
Since inception, Edison Nation has received over 100,000 idea submissions, with products selling in excess of $250 million at retail through the management of over 300 campaigns in their marketplace for clients. These clients include many of the largest manufacturers and retailers in the world such as Amazon, Bed Bath and Beyond, HSN, Rite Aid, P&G, Jarden and more.
New Crowdfunding Opportunity
Together with Xspand, Edison Nation is rolling out its new Crowdfunding tool, which was introduced to drive higher success potential for ideas to be commercialized. Investors submit their ideas through the Edison Nation website, and for all ideas chosen from the Crowdfunding search, Edison Nation will handle the costs to develop the products and run their respective crowdfunding campaigns. Successful campaigns will provide a stronger position for products to be commercialized, either directly by Edison Nation and Xspand, or through traditional licensing agreements.
Ferguson, continued: “Utilizing the efficient and effective opportunities that exist with crowdfunding, we are able to identify proprietary products through idea submission, find the ‘best of the best’, and launch them into the market quickly. Together with Xspand, we are able to not only source these great ideas, but assist with everything from manufacturing and product development, to fulfillment and logistics and sales and marketing. This de-risked business model provides both the inventor and our companies a significant opportunity to grow quickly, while realizing maximum sales potential for a given product.”
Edison Nation’s proprietary platform ensures privacy of intellectual property through binding agreements and it streamlines communication and negotiations with innovators. For over 10 years, Edison Nation has been and continues to be the trusted destination for innovators, partners and consumers alike and the trusted leader for quality innovation.
About Edison Nation, LLC
Since 2008, Edison Nation has been the go-to resource for independent innovators with great consumer product invention ideas. The company is the only innovation partner with multiple commercialization channels to bring new product ideas – from sketches, to proof of concept prototypes and late-stage inventions – to consumers worldwide. The community platform has generated hundreds of millions at retail. The company is committed to bringing new consumer innovation to market through its secure and proprietary platform found at www.EdisonNation.com.
About Xspand Products Lab, Inc.
Xspand Products Lab, Inc. is a vertically integrated and full-service product development and manufacturing company, including design, sales, fulfillment and shipping. Xspand's model is to provide a risk mitigated platform that connects innovators with companies to bring new products to market. For more information, please visit www.xspandproductslab.com.
This press release contains forward-looking statements that involve substantial risks and uncertainties. All statements, other than statements of historical facts, included in this press release regarding strategy, future operations and plans, including assumptions underlying such statements, are forward-looking statements, and should not be relied upon as representing Xspand’s views as of any subsequent date. Such forward-looking statements are based on information available to Xspand as of the date of this release and involve a number of risks and uncertainties, some beyond Xspand’s control, that could cause actual results to differ materially from those anticipated by these forward-looking statements, including consumer, regulatory and other factors affecting demand for Xspand’s products, any difficulty in marketing Xspand’s products in global markets, competition in the market for consumer products, any inability to raise capital to fund operations and service Xspand’s debt. Additional information that could lead to material changes in Xspand’s performance is contained in its filings with the SEC. Xspand is under no obligation to, and expressly disclaims any responsibility to, update or alter forward-looking statements contained in this release, whether as a result of new information, future events or otherwise.
Investor Relations Contact:
MZ North America
Released July 26, 2018