Tongji Healthcare Group, Inc. (OTCMKTS:TONJ) is the reverse merger vehicle for leading social media creator firm, West of Hudson Group, which has a reach of nearly 100 million followers within its network through its social media creator vehicle, The Clubhouse.
TONJ shares took flight on Monday after high-profile articles were published in two of the most exclusive and prominent publications in the world in recent days: the New York Times and The Atlantic.
Both pieces emphasize the central role the company is playing in leading a revolution in the marketing and branding space – with social media creators dominating the future as new brands and products are rolled out into the world for consumers.
While there is quite a bit of hypothesizing and data-dump in the two articles, for investors interested in high-growth speculative names, the big point here is clear: TONJ just got earned media coverage in two of the most prominent publications on planet earth.
In effect, that is the real story.
The Clubhouse Hits the Bigtime
As noted above, Tongji Healthcare Group, Inc. (OTCMKTS:TONJ) is starting to gain major “earned media” coverage from top global media companies as its creator model gains steam.
The company is run by a partnership team that includes New Jersey real estate operator, Amir Ben-Yohanan (CEO), and his business partners, Christian J. Young (President) and Simon Yu, COO for TONJ and The Clubhouse.
Tongji and Clubhouse’s parent company, West of Hudson Group, recently closed a merger that is poised to transform Tongji Healthcare Group to a publicly traded social media company with far-reaching implications.
Simon Yu has been a key player in this equation. In addition to his role at TONJ, Mr. Yu is the CEO of Cannabis Strategic Ventures (OTCMKTS:NUGS), a publicly traded CA-licensed cannabis cultivator and has served in this position since he took the company over in a reverse merger back in 2017. Yu has compiled nearly 20 years as an executive and has taken two companies public through reverse mergers.
Throughout his career, Yu has launched startups in e-commerce, import/export, medical devices, and staffing. He was also a startup advisor at the University of Southern California’s Business Incubator and was an adjunct professor of entrepreneurship at California State University, Los Angeles.
The Next Level
As the social media creator space increasingly takes flight, one is compelled to fixate on this as an increasingly appealing investment space for the so-called “Zillennials”, with their growing power over capital.
According to a recent Morgan Stanley research piece, investors in the Millennial and Gen-Z designation will inherit roughly $68 trillion globally over the coming 10 years. And older investors would do well to keep this in mind. What makes sense to them will drive the tape.
Tongji Healthcare Group, Inc. (OTCMKTS:TONJ) is positioned to leverage that trend for its stakeholders and its partners and clients.
“The scope of our reach at The Clubhouse is powerful proprietary value that can be tapped in service of either deals with outside brands or the popularization and expansion of our own in-house branding projects,” commented Amir Ben Yohanan, CEO at Tongji. “We have big plans to develop and launch high-margin consumer-oriented products through Doiyen and WOH to unlock that value for our shareholders.”
The Clubhouse is an established network of social media content creation houses (“Clubhouse BH”, “Clubhouse Europe”, and “Not a Content House”). According to company materials, it has already received organic media coverage from Business Insider and Forbes, as well as its recent coverage in NYT and The Atlantic.
The acquired assets include two operating subsidiaries, which are limited liability companies: WOH Brands, LLC, a content-creation studio, social media marketing company, technology developer, and brand incubator, and Doiyen, LLC, a talent management company that provides representation to Clubhouse creators.
As noted in the release, industry trends point to the increasing dominance of social media creators in establishing market positioning and leadership among new consumer brands, with Zenith recently predicting global social media ad spend to gain 20% in 2020 to reach an estimated $84 billion. According to Zenith’s data, social media advertising will account for 13% of total global ad spend and rank as the third-largest advertising channel, behind TV and paid search. Social media ad spending surpassed print media ad spend last year for the first time ever, according to Zenith. That trend is almost universally expected to continue and even accelerate over coming years.
Management also notes that it has immediate plans to expand The Clubhouse to additional locations, including internationally, and to continue to aggressively add to its team of popular creators.
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