BOCA RATON, FL--(Marketwired - Mar 24, 2017) - Grom Holdings Inc.("Grom" or the "Company") which owns and operates an innovative social media website for children through its wholly-owned subsidiary Grom Social, Inc., as well as other synergistic businesses; today announced that its Manila, Philippines based subsidiary, Top Draw Animation ("TDA") is expanding its operations to address its current and upcoming contractual commitments.
TDA is an award winning producer of top-quality animation and is one of the leading producers of 2D animation for television markets around the world. TDA is recognized by producers and broadcasters as a provider of quality television animation and currently provides services to many high-profile properties, including Tom and Jerry, My Little Pony, and Disney Animation's Penn Zero: Part-Time Hero.
Wayne Dearing, the Founder and CEO of TDA, stated, "For 2017, we are projecting a 15% increase to our annual output over 2016 levels, with 2017 expected to exceed 260 half hours. TDA will be increasing its current workforce by an additional 100 artists, bringing the workforce in Manila to approximately 600 employees. Consistent with past practice, we will utilize our successful internal training programs for these artists to help ensure that we maintain our high quality standards. Additionally, studio space will be also be increased accordingly to accommodate this expansion and this will include the addition of a Wellness Center and expansion of our in-house Animation Café."
Darren Marks, Grom's Chairman and CEO stated, "We are very fortunate to be able to work with Wayne Dearing, a visionary and leader in the animation space. To date, TDA has been a fantastic acquisition for Grom. We look forward to continuing to work with Wayne not only with TDA, but also by relying on his guidance and experience as a valued member of the Grom executive team."
Mr. Marks further stated, "Overall as a company we have made tremendous strides in increasing our enterprise value for shareholders by significantly growing our user base, by acquiring a best in class animation company, TDA, as well acquiring an entity that provides web filtering services to over two million school-aged children in over 400 school districts in the United States. Also, we have acquired an application called MamaBear that enables parents to monitor their children's activities. Finally, we have increased our base of high visibility partners that will help us to monetize our unique database."
Additionally, Grom announced that Sander Schwartz is stepping down as President to pursue other interests. Darren Marks, currently the Company's Chairman and CEO, will temporarily assume the additional role of President.
Grom Holdings, Inc. is a Delaware holding company that conducts its operations through its subsidiaries, Grom Social, Inc., TD Holdings Limited, and Grom Educational Services Inc. Grom operates its social media network for children through Grom Social, Inc. TD Holdings Limited which was acquired in July 2016, is a Hong Kong corporation and is the parent company of Top Draw Animation, Inc., Philippines, through which Grom operates its animation business; and Grom Educational Services which provides its NetSpective Webfiltering services to approximately 2 million school aged children in 400 school districts in the United States.
Grom's core business is its social media website that delivers a friendly, safe environment to millions of children between the ages of 5 to 16. Grom Social follows COPPA guidelines and focuses on anti-bullying and good digital citizenship, as core issues. The concept for Grom Social was developed in early 2012 by 12 year old Zach Marks in response to his parents blocking access to a popular social media site over their concerns of potential exposure to unsuitable content. Visitors to the Grom Social website located at www.gromsocial.com may log on via mobile phone, desktop computer or tablet and chat with friends, view original content or play games created by Grom.
Safe Harbor Statement
This press release may contain forward looking statements which are based on current expectations, forecasts, and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially from those anticipated or expected, including statements related to the amount and timing of expected revenues and any payment of dividends on our common stock, statements related to our financial performance, expected income, distributions, and future growth for upcoming quarterly and annual periods. Actual results and the timing of certain events could differ materially from those projected in or contemplated by the forward-looking statements due to a number of factors. Among other matters, the Company may not be able to sustain growth or achieve profitability based upon many factors including, but not limited to, general stock market conditions. We have incurred and will continue to incur significant expenses in our expansion of our existing and new service lines, noting there is no assurance that we will generate enough revenues to offset those costs in both the near and long term. Additional service offerings may expose us to additional legal and regulatory costs and unknown exposure(s) based upon the various geopolitical locations where we will be providing services, the impact of which cannot be predicted at this time. All forward-looking statements speak only as of the date of this press release. We undertake no obligation to update any forward-looking statements or other information contained herein. Stockholders and potential investors should not place undue reliance on these forward-looking statements. Although we believe that our plans, intentions and expectations reflected in or suggested by the forward-looking statements in this report are reasonable, we cannot assure stockholders and potential investors that these plans, intentions or expectations will be achieved. Except to the extent required by law, we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, a change in events, conditions, circumstances or assumptions underlying such statements, or otherwise.
Investor and Media Contacts:
Melvin Leiner, Executive Vice-President
Ralph Sabella, Vice President Operations