Affluence Corporation (OTCID: AFFU) has issued a shareholder letter from President Oscar Brito detailing the company's reorganization and its pivot from restructuring to executing a growth strategy focused on Smart City, Industrial IoT, and security software solutions. The letter outlines key achievements over the past year, including acquisitions and balance sheet improvements, and sets ambitious financial projections for 2026.
According to the letter, the acquisition of Mingothings established the cornerstone of Affluence's IoT platform, providing recurring enterprise customers and an international footprint. Subsequently, Mingothings acquired Marina Eye-Cam Technologies S.L., expanding capabilities in enterprise security, intelligent video analytics, and integrated hardware solutions. Management projects that these IoT operations could generate approximately $10 million in revenue during 2026, with expected EBITDA exceeding $1.5 million, subject to execution and market conditions.
Affluence's disciplined acquisition strategy remains a key growth driver. The company targets well-managed technology companies in Europe and the United States that are underserved by larger acquirers but have proven products and recurring customer relationships. The letter emphasizes that Affluence aims to build an integrated technology platform where acquired businesses benefit from shared engineering resources, cross-selling opportunities, and operational efficiencies. While acquisition financing was initially delayed to strengthen the company's financial foundation—including a reverse stock split and balance sheet restructuring—management believes Affluence is now better positioned to pursue growth capital.
Improving the capital structure has been a top priority. Affluence has entered negotiations with holders of convertible debt to restructure a substantial portion into long-term preferred equity. If completed, this restructuring is intended to eliminate deeply discounted conversion mechanisms and reduce future dilution, lowering the effective cost of capital and aligning long-term partners with strategic objectives.
Looking ahead, Affluence views a future national securities exchange listing as a key milestone for Phase Two of its strategy, which involves continuing to build an integrated portfolio of Industrial IoT, Smart Infrastructure, AI, and enterprise software businesses. The company's priorities for the remainder of 2026 include executing the balance sheet restructuring, integrating Mingothings and Marina Eye-Cam, advancing acquisition opportunities, increasing recurring revenue, and improving access to growth capital.
Oscar Brito concluded, "The past year has been about building the foundation. The next phase is about execution." The company remains committed to disciplined growth, prudent capital allocation, and transparent communication with shareholders.
