Peak Positioning Technologies Inc.

Peak Positioning Technologies Inc.

June 16, 2014 08:30 ET

Peak Closes Quickable Acquisition

MONTREAL, QUEBEC--(Marketwired - June 16, 2014) - Peak Positioning Technologies Inc. (TSX VENTURE:PKK)(PINKSHEETS:PKKFF) ("Peak" or the "Company") today announced that it has officially acquired the assets associated with the Quickable Marketplace (the "Assets") from Quick Technologies LLC ("Quick"). The transaction, which was first announced on March 26, 2014, was closed as scheduled on June 13, 2014.

"We have been consistent with our message to shareholders that our objective is to create long-term sustained value with exceptional growth potential", said Johnson Joseph, President and CEO of Peak. "We've clearly laid out our strategy for how we plan on doing that, and the announcement made today is a key component of the execution of that strategy. Having the Quickable assets now in hand really sets the stage for everything we set out to accomplish in 2014, both in North America and in China", concluded Mr. Joseph.

"What really sold us on this acquisition is the vision that Peak has, not just for Quickable, but for the Company's overall strategy and where it plans to be tomorrow, 6 months from now, a year from now and beyond. We couldn't be more pleased to be joining the ranks of Peak's shareholders at this point in time", commented Doug Brenhouse, President of Quick.

As part of the total consideration package to be paid to Quick for the Assets, as previously disclosed in the news release dated May 15, 2014, Quick received from Peak 20 million Peak Common Shares at a deemed price of $0.05 per share. The Peak Common Shares received by Quick are subject to a trading restriction until October 14, 2014.

Debt Settlement with Newfield Partners LLC

Peak also announced that it has completed a "shares for debt" transaction with Newfield Partners LLC ("Newfield"). On June 11, 2014, Peak issued 470,000 common shares to Newfield at a deemed price of $0.05 per share to repay $23,500 worth of short-term notes payable to Newfield, which matured on May 30, 2014.

Pursuant to Policy 5.9 of the TSXV and Multilateral Instrument 61-101 Respecting protection of minority security holders in special transactions ("MI 61-101"), the debt settlement transaction constitutes a "related party transaction" as Newfield is controlled by Mr. David Kugler (the "Related Party"), who is a member of Peak's Board of Director. In reviewing the applicable valuation requirements under MI 61-101, Peak has determined that the exemption set out in subsection 5.5 (c) of MI 61-101 is applicable since the transaction is a distribution of securities of Peak to the Related Party for cash consideration. In addition, subsection 5.7(b) provides that a transaction meeting such criteria is also exempt from the minority shareholder approval requirement. Peak has not filed a material change report 21 days prior to the closing of the debt settlement transaction as no agreement to that effect was in place at that time.

About Peak Positioning Technologies Inc.:

Peak Positioning Technologies Inc. ("Peak"), (TSX VENTURE:PKK)(PINKSHEETS:PKKFF), is a management company whose wholly-owned subsidiary, Peak Positioning Corporation provides Web development services and develops mobile software platforms destined to mobile network operators worldwide. Peak aims to deliver value to its shareholders by assembling a portfolio of high-growth projects and companies in mobile, mobile e-Commerce, and Web development in North America and China. For more information:

Forward-Looking Statements / Information

This news release may include certain forward-looking information, including statements relating to business and operating strategies, plans and prospects for revenue growth, using words including "anticipate", "believe", "could", "expect", "intend", "may", "plan", "potential", "project", "seek", "should", "will", "would" and similar expressions, which are intended to identify a number of these forward-looking statements. Forward-looking information reflects current views with respect to current events and is not a guarantee of future performance and is subject to risks, uncertainties and assumptions. The Company undertakes no obligation to publicly update or review any forward-looking information contained in this news release, except as may be required by applicable laws, rules and regulations. Readers are urged to consider these factors carefully in evaluating any forward-looking information.

The TSX Venture Exchange has in no way passed upon the merits of this transaction and has neither approved nor disapproved the contents of this press release. Neither the TSX Venture Exchange, Inc. nor its Regulation Service Provider (as that term is defined under the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of the contents of this press release.

Contact Information

  • Jeanny So
    Senior Account Manager
    CHF Investor Relations
    Phone: 416-868-1079 ext.: 225

    Johnson Joseph
    President and CEO
    Peak Positioning Technologies Inc.
    Phone: 514-340-7775 ext.: 501