MONTREAL, QUEBEC--(Marketwired - March 26, 2014) - Peak Positioning Technologies Inc. (TSX VENTURE:PKK) ("Peak" or the "Company") today announced that it has entered into an agreement to purchase substantially all of the assets associated with the Quickable.com mobile e-commerce platform from its Boston based owner and creator,, Quick Technologies LLC ("Quick Tech").
Quickable.com (or "Quickable(SM)") is a mobile platform and market place that allows a smartphone user to sell virtually any product. Users begin by taking a picture of the item they would like to sell with their smartphone and provide a brief description of the item. Alternatively, instead of describing the item for sale, users can simply scan the barcode of the item, and the item description is automatically provided on their behalf. Once an item is ready to sell, the user follows a set of simple instructions to instantly and simultaneously publish the item on the Quickable(SM) market place, social media sites, such as Facebook and Twitter, and other popular online market places such as Ebay and Craigslist, thereby increasing the chances for a quick sale of the item. Prospective buyers are then connected to sellers to negotiate the price of the items through a built-in Quickable(SM) instant messaging application. The Quickable(SM) platform handles every step of the transaction, from listing the product for sale, to the initial indication of interest on the part of the buyer, to the acceptance of an offer by the seller, all of which is documented though the recorded instant messaging exchanges between buyer and seller.
The Quickable(SM) platform was launched in July 2012 and is currently available to US subscribers only. As of the end of February 2014, Quickable(SM) had over 115,000 registered subscribers accounting for a total of more than USD$22,000,000 in gross merchandise value. For more information on Quickable(SM) please visit: www.quickable.com.
Peak plans to acquire substantially all of the assets of Quick Tech for a total consideration of USD$2,500,000, payable in a combination of cash and Peak Common Shares (the "Transaction"). Pending all necessary regulatory approvals, Peak expects to close the Transaction by May 2, 2014.
"We've been looking at the Quickable(SM) platform for a while now as a potential strategic acquisition", said David Kugler, Lead Director of Peak. "This platform has great potential today, and we strongly believe that we can leverage our existing technologies and relationships to turn it into a significant contributor to the Company's bottom line; and create significant value for our shareholders," he went on to say.
As part of its due diligence of Quick Tech, Peak mandated an independent Maryland based technology consulting firm to conduct a thorough technical analysis and review of Quickable(SM), and to provide Peak with a detailed report of its findings. "Based on the technical due diligence report and our own assessment of the platform, I can confidently say that Quickable(SM) is a very robust and flexible mobile e-commerce platform", commented Varujan Tasci, Peak's Chief Technology Officer. "I am also of the opinion that this type of technology will fit extremely well with our overall strategic vision and bring significant value to our various stakeholders", he concluded.
Peak independent director Mark Dumas, a former investor in Quick Tech, introduced Quick Tech to Peak. Mr Dumas will receive from Quick Tech, at the closing of the Transaction, a USD$100,000.00 fee. No new Peak insider, as that term is defined in Policy 1.1 of the TSX Venture Exchange Corporate Finance Manual, will be created as a result of the Transaction.
On March 13, 2014, Peak announced a private placement offering of up to CAD$2 million by way of secured convertible debenture (the "Debentures"), of which CAD$569,796 was closed in the initial round of the private placement. Peak intends to close the balance of the private placement on or about March 31, 2014, and use part of the proceeds to close the Transaction.
The Debentures pay an annual interest rate of 10%, mature 24 months from the date of their issuance, are secured by the aggregate assets of the Company, and allow their subscribers to convert them into Common Shares of Peak at any time prior to maturity, subject to certain terms and conditions, at a price of CAD$0.05 per Common Share during the 12-month period immediately following their issuance and CAD$0.10 per Common Share thereafter until their maturity date. Any Common Shares issued pursuant to the exercise of the conversion right of the Debentures will be subject to a hold period expiring four (4) months and one day from the date of their issuance.
Completion of the Transaction is subject to a number of conditions, including TSX Venture Exchange approval. There can be no assurance that the Transaction will be completed as proposed or at all.
About Peak Positioning Technologies Inc.:
Peak Positioning Technologies Inc. (TSX VENTURE:PKK), is a Canadian software developer for mobile smart devices, and application provider to mobile network operators (MNO) worldwide. In association with its partner, LongKey-Hong Kong Ltd, the company has developed the AiNi™ Mobile Cloud platform. AiNi™ is an enhanced version of the mobile smart device O/S equally designed for the benefit of consumers and MNOs, and marketed to MNOs as a solution to increase and maintain their mobile subscriber bases. AiNi™ comes with a suite of standard applications and features and offers MNOs the possibility to have additional custom applications and features developed and integrated to the platform. For more information: http://www.peakpositioning.com
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 the proposed 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.