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SMC Signs a Letter of Intent to Acquire 100% Equity Interest in Genesis Financial Inc., a Fintech-Powered Wealth Management Service Provider

POINT ROBERTS, WA / ACCESSWIRE / November 10, 2021 / SMC Entertainment, Inc. ("SMC" or the "Company") (OTC PINK:SMCE) today announced that it has entered into a letter of intent ("LOI") to acquire 100% equity interest in Genesis Financial, Inc. ("Genesis"), a diversified financial services company with a focus on fintech-powered Wealth Management advisory services. The acquisition is valued at $45 million.

Genesis operates its business mainly through two Australian regulated entities in wealth management, tax and accounting advisory services. For the 9 months to September 2021 the Australian operations generated gross revenue of approximately $15,765,000 (AUD$21,371,861) and derived EBIT of approximately $1,035,600 (AUD$1,403,919). All figures are unaudited.

Pursuant to the terms of the LOI, SMC will acquire 100% of the issued and outstanding securities of Genesis for stock. Genesis shareholders will receive SMC's preferred stock convertible to common. Subsequent to acceptance and closing of this transaction, management will strategize an additional capitalization plan minimally of $15 million for immediate implementation. The new capital will be allocated for further expansion, acquisitions and working capital. Management will also explore the ability to seek a more senior public listing exchange along with a reflective name change into 2022.

The Australian Wealth Management industry has over 25,000 financial advisors managing 2.2 million investors. The annual fees generated by the Wealth Management industry is close to $3.9 billion. According to AITE (2020) at least 10 million adults are underserved or not served at all by the Australian Financial Advisors. Genesis has firmly positioned itself to acquire and consolidate to expand in Australia's fragmented Independent Dealer Group business sector.

Warwick Kerridge, Genesis' Chairman said, "this transaction presents an ideal opportunity for Genesis to work with SMC to accelerate our growth strategy and position ourselves in the sector both in the United States and Australia to maximize shareholder value and build a platform that will ultimately allow us to become a significant player in the advisory and wealth management sector. Genesis has identified a number of synergetic acquisitions and growth opportunities in the United States and we are very confident that the acquisition of dealer advisor groups in the United States will integrate seamlessly with our existing and growing platform in Australia. It is critical to us that we have a revenue footprint in both countries so that the market and all stakeholders can easily see and understand the value proposition."

"We look forward to closing this transaction with Genesis in a timely fashion," said Ron Hughes, President and CEO of SMC. "The acquisition will allow us to advance our own growth strategy and enhance shareholder value. Our distinct competencies in understanding and implementing strategies for growth in the fintech and advisory sectors will give SMC a strong competitive advantage to expand Genesis' growth strategy in the United States, Australia and other Asia Pacific Regions."

About Genesis Financial, Inc.

Genesis is a diversified financial services company focusing on fintech-powered Wealth Management business mainly through two Australian regulated entities in wealth management, tax and accounting advisory services. Those subsidiaries are Ballast Accounting and The Financial Link Group. For more information, visit us at and

About SMC Entertainment, Inc.

SMC's multi-discipline revenue approach provides a building block to enhance both revenue and balance sheet growth thru acquisitions. For more information, visit

Press Release Contact:
Ronald E Hughes
President & CEO
}SMC Entertainment, Inc.

Safe Harbor Statement

This press release contains statements, which may constitute forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of the Company, members of its management, and assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements.

SOURCE: SMC Entertainment, Inc.

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