How Wooboard Technologies (ASX:WOO) is boosting growth prospects with Slik investment

Highlights

• Wooboard Technologies is gradually strengthening its foothold in the multi-billion-dollar enterprise market.
• The firm recently made an equity investment of US$800K for 20% of the total issued share capital of Slik Pro Corp, which is valued at US$4 million.
• In the current environment with enterprises willing to improve employee experience, Slik is more relevant than ever before.
• WOO will be the exclusive reseller of Slik products in the APAC region, which is home to over 60% of the global workforce and the globe’s largest developing economies.

Reports suggest that 80% of the employees are not engaged at work, leading to poor performance, high absenteeism, low employee retention, high staff turnover and poor workplace culture. On a global level, low engagement alone costs the economy US$7.8 trillion, as per Gallup’s State of the Global Workplace: 2021 Report. Thus, it has become imperative for businesses to offer a more diverse and holistic employee experience.

Having talked about today’s situation when attitudes in workplaces are changing dramatically, Wooboard Technologies Limited (ASX:WOO) can serve businesses with solutions that help employees to be more mindful, happier and more engaged at work. The firm has now fast-tracked its plan to deliver solutions that meet the needs of modern employing businesses. The ASX-listed company recently made a huge investment in Slik Pro Corp, which is valued at US$4 million. 

In July 2022, Wooboard Technologies signed an agreement with Slik for an equity investment of US$800K. As part of the agreement, WOO will hold 20% of Slik’s total issued share capital.

In the current environment, with enterprises willing to improve employee experience, Slik is more relevant than ever before. WOO’s investment in the firm will further boost its prospects in the multi-billion-dollar enterprise market. Also, WOO is looking forward to executing a reseller and licence agreement to tap several growth opportunities.

Time for WOO to make a mark in a colossal market

Argentina-based and US-incorporated Slik provides organisations with employee engagement measurement technology along with predictive insights related to employee experience solutions.

The total addressable market is worth US$148 billion with a huge network of 3,029,000 companies requiring engagement and talent management solutions worldwide. Meanwhile, the serviceable market is valued at US$12 billion with more than 245,349 companies.

Image Source: © 2022 Kalkine Media, Data Source: Company Presentation

With this development, Wooboard will be the exclusive reseller of Slik products in the Asia-Pacific (APAC) region, which is home to more than 60% of the global workforce and the globe’s largest developing economies.

The decision to collaborate with Slik was based on the analysis that an application which provides for a more diverse and holistic employee experience will get better traction from companies. Wooboard will deliver better than a standalone health and wellness offering.

On the whole, the appeal of WOO’s Sixty App will be broadened with the addition of an employee survey and data analytics functionality. Also, it complements the health and wellbeing functionalities of the app.

Significance of building a strong association with Slik

WOO will have a growth pathway to countless rationale and opportunities following dynamic synergies and integrations with the Slik Platform. Under the agreement, WOO will render effective reseller rights to Slik for its suite of products.

It will enable WOO to have access to a broader market for its Sixty App as well as for its various health and wellbeing modules in the Latin American (LATAM) region. WOO has the authority to use the distribution network as well as customer channels of Slik across LATAM to market its Sixty App.

The firm will now be offering its health and wellbeing modules as an additional product through the Slik platform. All its products will be available for Slik's existing and new customers.

Under the agreement, WOO has proposed to market Slik's product through its Sixty App as an additional module. The app will also allow users to apply for annual or monthly subscriptions for Slik’s products.