NEW YORK, March 24, 2022 (GLOBE NEWSWIRE) -- Diamond Equity Research, a leading equity research firm with a focus on small capitalization public companies has released an update report on Medigus Ltd. (NASDAQ: MDGS). The update report includes detailed information on the Medigus’s business model, services, industry, valuation, management, and risks.
The full update report is available here. Highlights from the report include:
Strong Momentum in EV & Micro-Mobility Segment Targeting Growing Markets
- Reverse Merger on OTC Markets - Medigus recently announced details of its planned spin-off and subsequent merger of its EV wireless charging business, Charging Robotics, Inc. The company signed a non-binding letter of intent for a planned securities exchange agreement with Fuel Doctor, Inc. (OTC: FDOC), a Delaware-based corporation. The transaction will result in Charging Robotics becoming a wholly owned subsidiary of Fuel Doctor, and in exchange, Medigus will receive 80% of the issued and outstanding share capital of Fuel Doctor. Through more available access to capital via the public equity markets, Charging Robotics is likely to enjoy greater flexibility in terms of financing alternatives, and greater liquidity. We view the transaction as a positive development and in line with the articulated business strategy of Medigus.
- Meaningful Progress in EV & Micro-mobility Business - Medigus has displayed strong momentum in its EV & micro-mobility segment. In less than a year, Revoltz, an EV and wireless charging joint venture designed, manufactured, presented, and received its first order for its first model "Porto," for the last mile delivery market. This order is a part of a pilot project that is to be carried out at a new fully autonomous supermarket in Israel. While additionally, the recently acquired ParaZero Ltd. ("ParaZero"), a privately held company engaged in drone technology with an innovative patented safety system for drones, received a purchase order for its ParaZero SafeAirTM system from a leading global drone manufacturer.
- Valuation - We have updated our financial model adjusting for the recent reverse merger and a minority stake in ParaZero Ltd. Our valuation approach yields a per-share value of $3.79 or $90.38 million contingent on successful execution by the company. The EV and micro-mobility business accounts for a majority, 52% of the company’s total value derived, while the online technologies and healthcare segment are at 28% and 20% respectively. Given the unique high-risk-reward opportunity, we view Medigus as a suitable investment for institutional and high-risk-tolerant retail investors.
Medigus Ltd.
Incorporated in the State of Israel in 1999, Medigus is a technology-oriented company involved in developing innovative solutions for large-scale market applications. The company operates under the broader market segments of online technologies, electric vehicles & micro-mobility, and healthcare.
For more information, visit https://medigus.com/overview/
About Diamond Equity Research
Diamond Equity Research is a leading equity research and corporate access firm focused on small capitalization companies. Diamond Equity Research is an approved sell-side provider on major institutional investor platforms including Factset, Morningstar, and Thomson One.
For more information, visit https://www.diamondequityresearch.com.
Disclosures:
Diamond Equity Research LLC is being compensated by Redchip Companies Inc. on behalf of Medigus Ltd for producing research materials regarding Medigus Ltd., and its securities, which is meant to subsidize the high cost of creating the report and monitoring the security, however, the views in the report reflect that of Diamond Equity Research. All payments are received upfront and are billed for an annual or semi-annual research engagement. As of 03/24/2022, the Redchip Companies Inc. had paid us $27,000 for our company sponsored research services on behalf of Medigus Ltd, which commenced 01/21/22 and is billed annually. Diamond Equity Research LLC may be compensated for non-research related services, including presenting at Diamond Equity Research investment conferences, press releases and other additional services. The non-research related service cost is dependent on the company, but usually do not exceed $5,000. The Redchip Companies Inc. on behalf of Medigus Ltd has paid us $2,500 for non-research related services as of 03/24/22 consisting of presenting at an investment conference. Issuers are not required to engage us for these additional services. Additional fees may have accrued since then. Although Diamond Equity Research company sponsored reports are based on publicly available information and although no investment recommendations are made within our company sponsored research reports, given the small capitalization nature of the companies we cover we have adopted an internal trading procedure around the public companies by whom we are engaged, with investors able to find such policy on our website public disclosures page. This report and press release do not consider individual circumstances and does not take into consideration individual investor preferences. Statements within this report may constitute forward-looking statements, these statements involve many risk factors and general uncertainties around the business, industry, and macroeconomic environment. Investors need to be aware of the high degree of risk in small capitalization equities including the complete loss of their investment. Investors can find various risk factors in the initiation report and in the respective SEC filings for Medigus Ltd.
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