Adapti, Inc. (OTC: ADTI) Announces Contract Extension of MLB Pitcher Seth Lugo Facilitated by Ballengee Group
Lugo, who has been one of the American League's most consistent pitchers in 2025, signed a two-year extension worth $40 million, with a third-year player option of up to $20 million. The contract extension marks another significant milestone for Ballengee Group, reinforcing the agency's long-standing reputation for advocating top-tier talent and securing strong high value deals for its clients.
"Seth Lugo's extension with Kansas City is a testament to the leadership and experience of the Ballengee team, and to Seth's agent, Scott Barber," said Adam Nicosia, CEO of Adapti. "Ballengee's boots-on-ground approach and deep relationships across the league consistently delivers results that reflect the best interest of its athletes."
The Ballengee Group, acquired by Adapti in July 2025, is a full-service sports agency representing professional baseball athletes. The agency is committed to client service, expert contract negotiations, and has a track record of advocating for high-character, high-performance players.
About Adapti, Inc. (OTC: ADTI)
Adapti, Inc. leverages advanced AI technology to match products and brands with optimal influencers, using proprietary data analytics to drive superior marketing results. Adapti aims to build a global platform where data is an asset, efficiently paired with high-impact influencers.
In July 2025, Adapti acquired the Ballengee Group, a full-service sports agency representing Major League Baseball athletes. The Ballengee Group assists its clients with contract negotiations, marketing deals, public relations, and strategic partnerships. The Ballengee Group has guided world champions and global icons throughout their careers.
Adapti plans to roll out a suite of integrated services that blend traditional contract negotiation and endorsement deals with dynamic social media campaigns, which we anticipate will be powered by AdaptAI's proprietary "data fingerprint" technology that the company is developing. This technology will utilize Large Language Models to quickly optimize and adapt to changes in the ever-evolving marketing landscape. This holistic approach is being designed to maximize engagement, drive higher ROI for brand partners, and ensure athletes capture every opportunity to grow their platforms.
For more information, please visit our website: http://adapti.io. The information contained on our website is not incorporated by reference into this press release, and we disclaim any liability for such information.
Forward-Looking Statements
This communication contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Adapti, Inc. generally identify forward-looking statements by terminology such as "may," "should," "expects," "plans," "anticipates," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential" or "continue" or the negative of these terms or other similar words. These statements are only predictions. Adapti based these forward-looking statements largely on their then-current expectations and projections about future events and financial trends as well as the beliefs and assumptions of management. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond Adapti's control. Adapti's actual results (including those of Ballengee post-acquisition) could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to: (i) the ability to integrate the business operations of Ballengee with that of Adapti, (ii) the ability of Adapti to timely make the necessary filings with the SEC related to the acquisition of Ballengee, and (iii) those risks detailed in Adapti's reports filed with the SEC, as well as other documents that may be filed by Adapti from time to time with the SEC. Accordingly, you should not rely upon forward-looking statements as predictions of future events. Additional risks and uncertainties can be found in the Company's recent annual and quarterly reports, filed with the SEC or other filings that are filed with the SEC thereafter. Adapti cannot assure you that the events and circumstances reflected in the forward-looking statements will be achieved or occur, and actual results could differ materially from those projected in the forward-looking statements. The forward-looking statements made in this communication relate only to events as of the date on which the statements are made. Except as required by applicable law or regulation, Adapti undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events.
Investors Contact:
Phone: 214-301-3745Email: investorrelations@adapti.io
SOURCE: Adapti, Inc.
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(1) See 'Reconciliations of Non-GAAP Financial Measures' accompanying this release for a reconciliation of Adjusted EBITDA, Free Cash Flow, Adjusted Net Income and Adjusted Diluted Earnings per Share, each a non-GAAP measure, to the nearest GAAP measure. See 'Non-GAAP Financial Measures' included in this release for descriptions of calculations of these measures. Amounts presented in the reconciliations and other tables presented herein may not sum due to rounding. (2) A reconciliation of the forward-looking Adjusted EBITDA outlook to net income cannot be provided without unreasonable effort because of the inherent difficulty of accurately forecasting the occurrence and financial impact of the various adjusting items necessary for such reconciliation that have not yet occurred, are out of our control, or cannot be reasonably predicted. 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Condensed Consolidated Statements of Financial Position (Unaudited) (In millions, except share data) As of June 30, December 31, 2025 2024 Assets: Current Assets: Cash and cash equivalents $ 562 $ 421 Marketable securities — 15 Receivables, less allowance of $4 and $4, respectively 10 10 Prepaid expenses and other current assets 37 42 Contract assets 11 — Total Current Assets 620 488 Other Assets: Property and equipment, net 68 73 Goodwill 972 967 Intangible assets, net 412 448 Operating lease right-of-use assets 7 8 Long-term marketable securities — 38 Deferred reinsurance 68 65 Reinsurance recoverables 9 9 Deferred customer acquisition costs 12 11 Other assets 3 2 Total Assets $ 2,172 $ 2,107 Liabilities and Shareholders' Equity: Current Liabilities: Accounts payable $ 106 $ 71 Accrued liabilities: Payroll and related expenses 33 44 Home warranty claims 91 74 Other 54 28 Deferred revenue 104 123 Current portion of long-term debt 29 29 Total Current Liabilities 416 369 Long-Term Debt 1,157 1,170 Other Long-Term Liabilities: Deferred tax liabilities, net 38 49 Operating lease liabilities 19 20 Unearned insurance premium 238 233 Unpaid losses and loss adjustment reserves 13 12 Long-term deferred revenue 20 12 Other long-term liabilities 18 4 Total Other Long-Term Liabilities 346 329 Commitments and Contingencies Shareholders' Equity: Common stock, $0.01 par value; 2,000,000,000 shares authorized; 88,086,073 shares issued and 73,111,103 shares outstanding as of June 30, 2025 and 87,434,468 shares issued and 75,314,243 shares outstanding as of December 31, 2024 1 1 Additional paid-in capital 167 152 Retained earnings 678 530 Accumulated other comprehensive loss (13 ) — Less treasury stock, at cost; 14,974,970 shares as of June 30, 2025 and 12,120,225 shares as of December 31, 2024 (580 ) (444 ) Total Shareholders' Equity 254 239 Total Liabilities and Shareholders' Equity $ 2,172 $ 2,107 Expand Frontdoor, Inc. 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In May 2025, we participated in AOMT 2025-6, an approximately $349.7 million scheduled unpaid principal balance securitization backed by a pool of residential mortgage loans, to which we contributed loans with a scheduled principal balance of $87.2 million. We used the proceeds of the securitization to repay outstanding debt of approximately $73.1 million, and retained bonds of $8.1 million. The securitization released $9.2 million of cash, which was used for operational purposes. We participated in this securitization alongside other Angel Oak entities. During the quarter ended June 30, 2025, the Company purchased $146.6 million of newly-originated, current market coupon non-QM residential mortgage loans and home equity lines of credit ("HELOC"), with a weighted average coupon of 8.68%, a weighted average combined loan-to-value ratio (or 'CLTV', calculated as the primary or first lien mortgage loan amount plus any additional borrowings secured by the property, such as a HELOC, divided by the estimated value of the property) of 68.4% and a weighted average credit score of 757. As of June 30, 2025, the weighted average coupon of our residential whole loans portfolio was 8.37%, marking a 66 basis point increase compared to June 30, 2024. Capital Markets Activity In May 2025, we closed an underwritten public offering and sale of, and issued, $42.5 million in aggregate principal amount of our 9.750% Senior Notes due 2030 (the '2030 Notes'). The 2030 Notes bear interest at a rate of 9.750% per annum. After deducting the underwriting discount and other debt issuance costs, we received net proceeds of approximately $40.6 million. We used the majority of the net proceeds from the offering for general corporate purposes, which included the acquisition of non-QM loans and other target assets in a manner consistent with our strategy and investment guidelines. As of June 30, 2025, the Company was a party to three loan financing lines which permit borrowings in an aggregate amount of up to $1.1 billion, of which approximately $118.6 million is drawn, leaving capacity of approximately $931.4 million for new loan purchases. Balance Sheet Target assets totaled $2.5 billion as of June 30, 2025. The Company held residential mortgage whole loans with fair value of $200.7 million as of June 30, 2025. As of June 30, 2025, the Company's recourse debt to equity ratio was approximately 1.1x. Dividend On August 5, 2025, the Company declared a dividend of $0.32 per share of common stock, which will be paid on August 29, 2025, to common stockholders of record as of August 22, 2025. Conference Call and Webcast Information The Company will host a live conference call and webcast today, August 5, 2025 at 8:30 a.m. Eastern time. To listen to the live webcast, go to the Investors section of the Company's website at at least 15 minutes prior to the scheduled start time in order to register and install any necessary audio software. To Participate in the Telephone Conference Call: Dial in at least 15 minutes prior to start time. Domestic: 1-844-826-3033 International: 1-412-317-5185 For the conference call playback (which can be accessed through August 19, 2025), dial one of the following numbers: Domestic: 1-844-512-2921 International: 1-412-317-6671 Pass code: 10200567 Non-GAAP Metrics Distributable Earnings is a non‑GAAP measure and is defined as net income (loss) allocable to common stockholders as calculated in accordance with generally accepted accounting principles in the United States of America ('GAAP'), excluding (1) unrealized gains and losses on our aggregate portfolio, (2) impairment losses, (3) extinguishment of debt, (4) non-cash equity compensation expense, (5) the incentive fee earned by Falcons I, LLC, our external manager (our 'Manager'), (6) realized gains or losses on swap terminations and (7) certain other nonrecurring gains or losses. We believe that the presentation of Distributable Earnings provides investors with a useful measure to facilitate comparisons of financial performance among our real estate investment trust ('REIT') peers, but has important limitations. We believe Distributable Earnings as described above helps evaluate our financial performance without the impact of certain transactions but is of limited usefulness as an analytical tool. Therefore, Distributable Earnings should not be viewed in isolation and is not a substitute for net income computed in accordance with GAAP. Our methodology for calculating Distributable Earnings may differ from the methodologies employed by other REITs to calculate the same or similar supplemental performance measures, and as a result, our Distributable Earnings may not be comparable to similar measures presented by other REITs. Distributable Earnings Return on Average Equity is a non-GAAP measure and is defined as annual or annualized Distributable Earnings divided by average total stockholders' equity. We believe that the presentation of Distributable Earnings Return on Average Equity provides investors with a useful measure to facilitate comparisons of financial performance among our REIT peers, but has important limitations. Additionally, we believe Distributable Earnings Return on Average Equity provides investors with additional detail on the Distributable Earnings generated by our invested equity capital. We believe Distributable Earnings Return on Average Equity as described above helps evaluate our financial performance without the impact of certain transactions but is of limited usefulness as an analytical tool. Therefore, Distributable Earnings Return on Average Equity should not be viewed in isolation and is not a substitute for net income computed in accordance with GAAP. Our methodology for calculating Distributable Earnings Return on Average Equity may differ from the methodologies employed by other REITs to calculate the same or similar supplemental performance measures, and as a result, our Distributable Earnings Return on Average Equity may not be comparable to similar measures presented by other REITs. Economic book value is a non-GAAP financial measure of our financial position. To calculate our economic book value, the portions of our non-recourse financing obligation held at amortized cost are adjusted to fair value. These adjustments are also reflected in our end of period total stockholders' equity. Management considers economic book value to provide investors with a useful supplemental measure to evaluate our financial position as it reflects the impact of fair value changes for our legally held retained bonds, irrespective of the accounting model applied for GAAP reporting purposes. Economic book value does not represent and should not be considered as a substitute for book value per share of common stock or stockholders' equity, as determined in accordance with GAAP, and our calculation of this measure may not be comparable to similarly titled measures reported by other companies. Forward-Looking Statements This press release contains certain forward-looking statements that are subject to various risks and uncertainties, including, without limitation, statements relating to the performance of the Company's investments. Forward-looking statements are generally identifiable by use of forward-looking terminology such as 'may,' 'will,' 'should,' 'potential,' 'intend,' 'expect,' 'endeavor,' 'seek,' 'anticipate,' 'estimate,' 'believe,' 'could,' 'project,' 'predict,' 'continue,' or by the negative of these words and phrases or other similar words or expressions. Forward-looking statements are based on certain assumptions, discuss future expectations, describe existing or future plans and strategies, contain projections of results of operations, liquidity and/or financial condition, or state other forward-looking information. The Company's ability to predict future events or conditions or their impact or the actual effect of existing or future plans or strategies is inherently uncertain. Although the Company believes that such forward-looking statements are based on reasonable assumptions, actual results and performance in the future could differ materially from those set forth in or implied by such forward-looking statements. You are cautioned not to place undue reliance on these forward‐looking statements, which reflect the Company's views only as of the date of this press release. Additional information concerning factors that could cause actual results and performance to differ materially from these forward-looking statements is contained from time to time in the Company's filings with the Securities and Exchange Commission. Except as required by applicable law, neither the Company nor any other person assumes responsibility for the accuracy and completeness of the forward‐looking statements. The Company does not undertake any obligation to update any forward-looking statements contained in this press release as a result of new information, future events or otherwise. About Angel Oak Mortgage REIT, Inc. Angel Oak Mortgage REIT, Inc. is a real estate finance company focused on acquiring and investing in first lien non-QM loans and other mortgage-related assets in the U.S. mortgage market. The Company's objective is to generate attractive risk-adjusted returns for its stockholders through cash distributions and capital appreciation across interest rate and credit cycles. The Company is externally managed and advised by an affiliate of Angel Oak Capital Advisors, LLC, which, collectively with its affiliates, is a leading alternative credit manager with market leadership in mortgage credit that includes asset management, lending, and capital markets. Additional information about the Company is available at Angel Oak Mortgage REIT, Inc. Condensed Consolidated Balance Sheets (Unaudited) (in thousands, except for share and per share data) As of: December 31, 2024 ASSETS Residential mortgage loans - at fair value $ 200,665 $ 183,064 Residential mortgage loans in securitization trusts - at fair value 1,902,721 1,696,995 RMBS - at fair value 361,884 300,243 Cash and cash equivalents 40,500 40,762 Restricted cash 3,867 2,131 Principal and interest receivable 6,836 8,141 TBA securities and interest rate futures contracts - at fair value — 1,515 Other assets 38,015 36,918 Total assets $ 2,554,488 $ 2,269,769 LIABILITIES AND STOCKHOLDERS' EQUITY LIABILITIES Notes payable $ 118,619 $ 129,459 Non-recourse securitization obligation, collateralized by residential mortgage loans in securitization trusts (see Note 2) 1,767,929 1,593,612 Securities sold under agreements to repurchase 68,062 50,555 Senior unsecured notes 88,601 47,740 TBA securities and interest rate futures contracts - at fair value 4,355 — Due to broker 254,228 201,994 Accrued expenses 2,812 2,291 Accrued expenses payable to affiliate 393 766 Interest payable 2,258 934 Income taxes payable 163 2,785 Management fee payable to affiliate 679 666 Total liabilities $ 2,308,099 $ 2,030,802 Commitments and contingencies STOCKHOLDERS' EQUITY Common stock, $0.01 par value. As of June 30, 2025: 350,000,000 shares authorized, 23,765,202 shares issued and outstanding. As of December 31, 2024: 350,000,000 shares authorized, 23,500,175 shares issued and outstanding. $ 238 $ 234 Additional paid-in capital 463,580 461,057 Accumulated other comprehensive income (loss) (4,661 ) (3,475 ) Retained earnings (deficit) (212,768 ) (218,849 ) Total stockholders' equity $ 246,389 $ 238,967 Total liabilities and stockholders' equity $ 2,554,488 $ 2,269,769 Expand Three Months Ended Six Months Ended June 30, 2025 June 30, 2024 June 30, 2025 June 30, 2024 ($ in thousands) Average total stockholders' equity $ 248,934 $ 259,565 $ 245,612 $ 258,412 Distributable Earnings Return on Average Equity 4.2 % (3.5 )% 5.5 % 0.4 % Expand
