AUDDIA INC. Reports Material Definitive Agreement on Jan 26, 2024

TL;DR

**AUUD just signed a big deal, details pending, could move the stock.**

AI Summary

AUDDIA INC. filed an 8-K on January 26, 2024, to report an "Entry into a Material Definitive Agreement." This filing indicates a significant new agreement that could impact the company's operations or financial standing. While the specific details of the agreement are not disclosed in this summary filing, investors should be aware that such an agreement could lead to changes in revenue, expenses, or strategic direction, potentially affecting the stock's future performance.

Why It Matters

This filing signals a new, important agreement for AUDDIA INC. that could significantly alter its business prospects, potentially impacting its stock value depending on the nature of the deal.

Risk Assessment

Risk Level: medium — The risk is medium because a material agreement has been entered into, but the specific terms and potential impact are not yet disclosed, creating uncertainty.

Analyst Insight

A smart investor would monitor AUDDIA INC. (AUUD) for subsequent filings (like another 8-K or 10-Q) that provide specific details about the "Material Definitive Agreement" to assess its financial and strategic implications before making any investment decisions.

Key Players & Entities

• AUDDIA INC. (company) — the registrant filing the 8-K
• 001-40071 (other) — Commission File Number for AUDDIA INC.
• 45-4257218 (other) — I.R.S. Employer Identification No. for AUDDIA INC.
• AUUD (other) — Trading Symbol for AUDDIA INC. Common Stock

FAQ

Key Financial Figures

• $13,000,000 — the "Business") for a purchase price of $13,000,000 in cash plus an earnout payment of $2,0
• $2,000,000 — ,000 in cash plus an earnout payment of $2,000,000 if certain milestones are reached (the

Filing Documents

• auddia_8k.htm (8-K) — 31KB
• 0001683168-24-000496.txt ( ) — 243KB
• auud-20240126.xsd (EX-101.SCH) — 3KB
• auud-20240126_def.xml (EX-101.DEF) — 26KB
• auud-20240126_lab.xml (EX-101.LAB) — 36KB
• auud-20240126_pre.xml (EX-101.PRE) — 25KB
• auddia_8k_htm.xml (XML) — 5KB

01

Item 1.01 Entry into a Material Definitive Agreement. Asset Purchase Agreement with AppSmartz and RadioFM On January 26, 2024, Auddia Inc., a Delaware corporation (the "Company"), entered into an Asset Purchase Agreement (the "Purchase Agreement") with (i) M/s APPSMARTZ, a Partnership Firm constituted under Indian Partnership Act of 1912 and organized under the laws of India ("AppSmartz") and (ii) M/s RADIOFM, a Partnership Firm constituted under Indian Partnership Act of 1912 and organized under the laws of India ("RadioFM", together with AppSmartz, each a "Seller" and collectively the "Sellers"), pursuant to which the Company has agreed to acquire certain assets, and assume certain liabilities, comprising Sellers' mobile application, internet radio and streaming business (the "Business") for a purchase price of $13,000,000 in cash plus an earnout payment of $2,000,000 if certain milestones are reached (the "Asset Purchase"). The obligations of the Sellers under the Purchase Agreement are guaranteed by the two individuals who own the Seller entities. The Purchase Agreement includes customary representations and warranties, as well as certain covenants, including, among other things, that: (i) Seller will operate the Business in the ordinary course of business consistent with past practice, (ii) each party will use reasonable best efforts to obtain required regulatory approvals, and (iii) Seller is bound by non-competition and non-solicitation covenants. The Asset Purchase is anticipated to close by May 1, 2024. The Company's board of directors has approved the Asset Purchase. The consummation of the transactions contemplated by the Purchase Agreement (the "Closing") is subject to customary conditions, including, among other things, the Company obtaining the requisite financing to fund the Asset Purchase, and other closing conditions, such as the accuracy of representations and warranties, material performance of covenants, and no occurrence of a material adve

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. AUDDIA INC. January 26, 2024 By: /s/ John E. Mahoney Name: John E. Mahoney Title: Chief Financial Officer 3

View Full Filing

View this 8-K filing on SEC EDGAR