MESA, ARIZ.--(Marketwired - Jun 30, 2016) - Iveda® (OTCQB: IVDA), worldwide enabler of cloud-based video surveillance and data management through the licensing of its Sentir® platform, today announced the completion of a strategic investment transaction with Ly Chau Lam, the new majority owner of Iveda Vietnam, the Company's exclusive reseller in Vietnam. The Company sold 628,571 shares of its unregistered common stock and a warrant to purchase 800,000 shares of unregistered common stock, exercisable at $0.35 per share, for cash consideration of $500,000.
"The investment from Ly Chau Lam exemplifies Iveda Vietnam's commitment and vision for the Vietnam market for our Sentir cloud platform and Sentir-enabled devices such as our ZEE plug-and-play cameras and IvedaHome home automation product," said David Ly, chairman and CEO of Iveda.
As the majority owner of Iveda's exclusive reseller in Vietnam, Ly Chau Lam will be funding the working capital requirements for deposits and final payment before Iveda ships cameras and other Sentir-enabled devices, through its contract manufacturing relationships in Asia. This role is key in facilitating business with large telecom customers on terms acceptable in Vietnam.
"I'm seeing Iveda's initial success with our telecoms here in Vietnam and I know the model can be replicated throughout Asia," said Ly Chau Lam. "I'm thrilled to be a shareholder of Iveda and a partner in its global initiative of cloud video surveillance distribution using the largest of telecoms in each country."
Iveda Vietnam is reselling the prepaid Sentir licenses to telecommunications, datacenter and manufacturing customers, some of which the Company have previously announced contracts. Iveda Vietnam will facilitate finance, logistics and routine customer service aspects of the Company's relationships with the largest telecommunications customers in Vietnam.
In November 2015, Iveda signed an agreement with Nguyen Business & Investment Co., Ltd. as its exclusive reseller in Vietnam, which included a committed $1,000,000 prepaid Sentir license. Nguyen Business & Investment Co., Ltd. had formed Iveda Vietnam to be the operating entity to license the Sentir platform and purchase hardware such as the Company's ZEE plug and play cameras and IvedaHome cloud automation system.
The Company has been working with Iveda Vietnam for several months as they restructured internally to become properly funded to perform upon the exclusive reseller agreement. Upon acceptance of the $500,000 investment from Ly Chau Lam, as the new majority owner of Iveda Vietnam, the Company agreed that Iveda Vietnam had satisfactorily performed under the agreement to continue as the exclusive reseller.
Iveda, Sentir and ZEE are registered trademarks of Iveda Solutions, Inc. All other trademarks are property of their respective owners.
Iveda® (OTCQB: IVDA) enables cloud video surveillance by licensing its Sentir® video and data management platform, utilizing proprietary video streaming and Big Data storage technology. Iveda enables a recurring revenue model by licensing Sentir to service providers for plug-and-play cloud video offering to their customers. Iveda has a SAFETY Act Certification from the Department of Homeland Security as a Qualified Anti-Terrorism Technology Provider. Iveda is headquartered in Mesa, Arizona with a wholly-owned subsidiary in Taiwan. Iveda is publicly traded under the ticker symbol "IVDA." For more information call (480) 307-8700 or visit www.iveda.com. To follow Iveda visit www.facebook.com/ivedasolutions, www.twitter.com/ivedasolutions or www.linkedin.com/company/iveda-solutions.
This release includes forward-looking statements. Actual results may vary materially from those expected. Iveda's business is subject to significant risks and uncertainties described more thoroughly in the Company's SEC filings, including but not limited to its report on Form 10-K for the year ended December 31, 2015 and its subsequently filed quarterly reports on Form 10-Q. All forward-looking statements made herein are qualified by such risk factors, and readers are advised to consider such factors carefully. Iveda undertakes no obligation to revise these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.