Medigus to Establish with Linkury an E-Commerce Platform for CBD Products

Medigus Ltd. (NASDAQ:MDGS) announced today that it has entered into a binding memorandum of understanding with Linkury Ltd., a leading company in the field of online advertising, which is wholly owned by Algomizer Ltd. (TASE: ALMO). As part of the memorandum of understanding Linkury will establish a commercial technological platform for the manufacturing, marketing and distribution of cannabidiol based (CBD) products. In addition, the two companies will examine entering into a definitive agreement and the formation of an international advertisement company, which will carry out the joint venture.

Both Algomizer and Linkury specialize in Internet marketing, with annual sales of approximately NIS 160 million for 2018. The company currently serves customers and partners, including world leading organizations such as Google, Microsoft, Apple, Yahoo, Ask, InfoSpace, Avaya, Dell, Instagram, and more.

The Algomizer group has unique technologies and expertise in all areas of the Internet, including: Internet video, Internet sales, Internet advertising, website monetization, search engines and more. These technologies include developments and algorithms in the field of artificial intelligence and business intelligence developed by the public group.

Under the memorandum of understanding, the two companies will invest in setting up an Internet platform, where Internet marketing, the establishment of an e-commerce platform and video sites will be carried out by Linkury, and the manufacturing, operation, and regulation related to the CBD products will be carried out by Meidgus. The companies will jointly invest up to $500,000 in the venture for infrastructure and marketing and will own it in equal parts.

This is Medigus’ first investment in the field of CBD, after announcing on February 14 that it intends to enter the CBD and medical cannabis markets. This venture is in accordance with the strategy of the Company’s management and board of directors to strive to bring value to the Company and its shareholders.