IRVINE, CA – November 13, 2023 – The Board of Directors (Board) of EON Reality Inc. (EON Reality), a global leader in Spatial AI and XR solutions for knowledge transfer, today announced its decision not to proceed with a Special Purpose Acquisition Company (SPAC) merger with Arogo Capital Acquisition Corporation (a De-SPAC merger). This board decision aligns with the company’s commitment to its key shareholders and employees and re-aligns with its long-term vision in the rapidly evolving field of Spatial AI for Knowledge Transfer.
Strategic Decision Amid Current Market Conditions
After a thorough analysis and advice from market experts, EON Reality’s Board and management concluded that the current financial environment does not favor a SPAC-based merger and public offering of its shares. The Board and management believe that the challenging current SPAC market, characterized by redemptions in the high 90% to almost 100%, and suppressed valuations of target companies like EON Reality, would not reflect the true intrinsic value of EON Reality for its stakeholders. The company believes that patience in seeking the right strategic move and focus on continuing to strengthen its fundamentals are crucial in these times. While the market conditions in general for SPACs, de-SPAC mergers, and software as a service companies are down, as a contrast, the market for Spatial AI, which EON Reality has made its main focus, is flourishing. This positions EON Reality very well to increase its market share in 2024 with its many groundbreaking products releases.
Groundbreaking Product Releases and Market Expansion
In 2023, EON Reality achieved significant market penetration and expansion despite challenging global market conditions. The company launched innovative products, including an advanced version of its EON AI Assistant, which offers Spatial AI for real-time guidance and support. Other notable releases are EON TrainAI, which enables rapid and high-quality, customer-specific training for AI Avatars, and EON SoftSkills, a transformative XR training platform that utilizes scenario-based role play. These products have further solidified EON Reality’s role as a leader in Spatial AI for knowledge transfer.
Not only EON Reality’s products growth has been impressive. It has also geographically expanded its global presence to over 90 regions and established partnerships and relationships in the US, UK, Korea, Vietnam, Oman, Bahrain, Indonesia, India, UAE, Romania, Croatia, Portugal, Costa Rica, Colombia, and other countries. The company has also formed partnerships and initial relationships with more than 30 new entities in these regions.
Looking Forward to a Bright Future
EON Reality remains optimistic about the future. The global market in Spatial AI is believed to be explosive, and the company is poised to lead that market in Spatial AI and XR solutions in the knowledge transfer segment. « Our decision to not pursue a De-SPAC merger at this time is a strategic step towards maintaining our intrinsic value for stakeholders and realizing our long-term goals of products release and penetration and global expansion. We believe that we are in a strong position to lead the market in Spatial AI and XR solutions. Our focus on developing groundbreaking products and expanding our global reach is a testament to our commitment to being at the forefront of knowledge transfer technology. All our past endeavors have positioned EON Reality very well to solidify and increase its market share in 2024, fully leveraging our strengths in a more favorable market environment., » said Dan Lejerskar, Chairman of EON Reality.
About EON Reality
EON Reality is a leading company in Artificial Intelligence-powered Augmented and Virtual Reality-based experience creation for education and industry. EON Reality’s 25 years of existence and success are tied to its belief that knowledge is a human right and should be available, accessible, and affordable for every person on the planet. To carry this out, EON Reality developed and launched EON-XR, a SaaS-based platform dedicated to the democratization of XR content creation that brings code-free XR development and publishing to smartphones, tablets, laptops, and any other XR-focused devices. EON-XR and many of EON Reality’s other solutions can be used in devices of different sizes, in different shapes and at different types of locations: from hand-held mobile devices, to head-mounted displays, to large-scale screens, and even at mega-size facilities. EON Reality’s global network now comprises more than 1.8 million licenses who are collectively building a vast digital community in more than 75 locations. EON Reality has also created the world’s leading XR library for education and industry with access to at least 6 million assets and counting. For further information, visit www.eonreality.com.