Onfolio Holdings Inc Subsidiary RevenueZen Acquires First Page Strategy
Rhea-AI Summary
On May 29, 2024, Onfolio Holdings announced that its subsidiary, RevenueZen, acquired substantially all assets of First Page Strategy. The acquisition involves a small initial payment and a revenue share agreement over the next 36 months. First Page Strategy, known for its successful B2B content marketing, SEO, and advertising services, generated approximately $190k in Q1 2024, with an annual revenue run rate of $760k. This acquisition is expected to bring significant cost savings, strengthen client relationships, and enhance Onfolio's profitability. RevenueZen, which specializes in B2B marketing services, will integrate First Page Strategy’s operations and teams, aiming to leverage synergies for future growth.
Positive
- RevenueZen acquired First Page Strategy with a nominal upfront cost.
- The deal includes a revenue-sharing agreement for 36 months, mitigating initial financial burden.
- First Page Strategy generated $190k in Q1 2024, indicating strong performance.
- The acquisition is expected to yield significant cost savings for RevenueZen.
- Combining the companies' websites could enhance online visibility and client acquisition.
- First Page Strategy’s experienced team will join RevenueZen, adding valuable expertise.
- Historically, First Page Strategy achieved significant growth for its clients, showcasing its effectiveness.
Negative
- RevenueZen is taking on the long-term commitment of a 36-month revenue share agreement.
- The nominal cash down payment implies potential financial risks if projected revenue growth is not achieved.
- There may be integration challenges when combining First Page Strategy with RevenueZen.
News Market Reaction
On the day this news was published, ONFO declined 17.29%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
WILMINGTON, Del., May 29, 2024 (GLOBE NEWSWIRE) -- Onfolio Holdings Inc. (Nasdaq: ONFO, ONFOW) (the "Company" or "Onfolio"), a holding company that acquires and manages a diversified portfolio of online businesses across a broad range of verticals, today announced that its Subsidiary, RevenueZen LLC, has closed on an asset purchase agreement (the "Agreement") with First Page LLC, a Washington limited liability company ("First Page Strategy"), whereby RevenueZen, acquired substantially all of First Page Strategy’s business assets for a nominal cash down payment, with the remainder of the consideration being paid on a revenue share basis for the 36 months following the transaction close date.
In addition, the First Page Strategy team will continue to serve their current strategist and leadership roles with the RevenueZen team.
“As mentioned in our previous release, we have a number of acquisitions we are working towards which we hope will help Onfolio reach profitability in short order. This first acquisition is one of the smallest, but will have an impact on that path to profit. RevenueZen, our most recent acquisition prior to this one, is run by an exceptional team and we’re excited to add First Page Strategy to their business unit,” said Onfolio CEO Dominic Wells.
First Page Strategy was launched in 2016 and quickly scaled their B2B content marketing, SEO, and advertising consulting services. First Page Strategy’s reputation speaks for itself, such as having driven an
In Q1 of 2024, First Page Strategy realized around
RevenueZen expects to realize significant cost savings in the acquisition of First Page Strategy, to maintain and nurture its valued long-term client relationships, and to benefit from the combination of the two companies’ websites into revenuezen.com.
RevenueZen was launched in 2017 and began as a B2B marketing agency. RevenueZen offers B2B marketing services such as search-engine optimization, Linkedin ghostwriting, social media strategy, content marketing and production, backlink building, and outbound sales consulting. RevenueZen enjoys a strong reputation in its field, as demonstrated by its own high search engine rankings where it ranks first in Google for terms such as “B2B SEO services”.
In addition, First Page Strategy has historically outsourced some of its work to competitors of some Onfolio portfolio companies. By switching this spend to our own companies, we believe First Page Strategy will bring additional revenue to Onfolio and its subsidiaries, in addition to its client revenue.
"We are excited to welcome the FPS team to RevenueZen. The FPS team has a terrific track record of building successful SEO campaigns for their clients and brings a wealth of experience to our organization," said Rocky Pedden, CEO of RevenueZen.
"This acquisition positions RevenueZen to continue to provide exceptional service to our clients while deepening our commitment to provide modern, effective marketing solutions to demand generation leaders within the B2B ecosystem," concluded Pedden.
Lauren Soucy, VP Growth Strategy at First Page Strategy, said: "On behalf of First Page Strategy, we are very excited to join the RevenueZen team - they have an impressive track record and client portfolio. We share a lot of common philosophies about running a successful agency and driving growth marketing results for B2B companies. We are confident this will make for a great partnership to drive marketing revenue impact for our clients and our own organization, today and in the future."
About First Page Strategy
First Page Strategy works with B2B brands to grow their revenue through increasing qualified traffic and leads, improving website conversion rates, and acting as a strategic growth partner and expert consultant. Services range from Search Engine Optimization (SEO) to long form content creation, conversion rate optimization, and advertising management. The company excels at driving pipeline and revenue, supplementing and supporting the strategy of their clients’ VP and Director of Marketing. Visit www.firstpagestrategy.com to learn more.
About RevenueZen
RevenueZen works with B2B brands to grow qualified lead generation, pipeline creation, and revenue. They provide and consult on content marketing services across website and LinkedIn, to help convert traffic into paying customers. Services range from Search Engine Optimization (‘SEO’) to LinkedIn marketing and outbound sales consulting. The company excels at helping brands create marketing that cuts through the noise of everyday efforts by less ambitious brands. Visit www.revenuezen.com to learn more.
About Onfolio Holdings
Onfolio acquires and manages a diversified portfolio of online businesses across a broad range of verticals, each with a niche content focus and brand identity. Onfolio acquires business that meet its investment criteria, being that such businesses operate in sectors with long-term growth opportunities, have positive and stable cash flows, face minimal threats of technological or competitive obsolescence and can be managed by our existing team or have strong management teams largely in place. The Company excels at finding acquisition opportunities where the seller has not fully optimized their business, and Onfolio's experience and skillset allows it to add increased value to these existing businesses. Visit www.onfolio.com for more information.
Safe Harbor Statement
The information posted in this release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify these statements by use of the words "may," "will," "should," "plans," "explores," "expects," "anticipates," "continues," "estimates," "projects," "intends," and similar expressions. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those projected or anticipated. These risks and uncertainties include, but are not limited to, general economic and business conditions, effects of continued geopolitical unrest and regional conflicts, competition, changes in technology and methods of marketing, delays in completing new customer offerings, changes in customer order patterns, changes in customer offering mix, continued success in technological advances and delivering technological innovations, delays due to issues with outsourced service providers, those events and factors described by us under the caption "Risk Factors" included in our SEC filings and other risks to which our Company is subject, and various other factors beyond the Company's control.
Investor Contact
investors@onfolio.com
FAQ
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