Qwave Capital LLC

October 01, 2015 08:00 ET

Qwave Announces Acquisition of Shares of IOU Financial Inc.

MONTREAL, QUEBEC--(Marketwired - Oct. 1, 2015) - Qwave Capital LLC ("Qwave"), a venture capital firm of 3445 Stratford Road NE, 3902, Atlanta, Georgia, 30326, today announced pursuant to National Instrument 62-103 The Early Warning System and Related Take-Over Bid and Insider Reporting Issues that it has successfully acquired ownership of 8,878,905 common shares ("Common Shares") of IOU Financial Inc. ("IOU"), representing approximately 14.44% of the issued and outstanding Common Shares of IOU under its previously announced all-cash offer (the "Offer") to purchase 34,000,000 Common Shares of IOU for a purchase price of $0.50 per share and an aggregate purchase price of $4,439,452.50. The Offer expired at 5:00 p.m. (Eastern Standard Time) on September 22, 2015 and was not extended.

As a significant shareholder of IOU, Qwave will review and monitor its options and alternatives with respect to additional acquisitions of Common Shares in light of all relevant factors from time to time, including general market conditions, prevailing market prices for the Common Shares, the business and prospects of IOU and alternative investment opportunities available to Qwave. Qwave currently intends to explore opportunities to acquire additional Common Shares in the open market, through negotiated or private transactions or otherwise, in each case on such terms and at such times as Qwave may deem advisable and in accordance with all applicable securities laws. In the future, Qwave may cease to explore such opportunities to acquire additional Common Shares, terminate or temporarily suspend any acquisition activities in which it may be engaged or may dispose of Common Shares at any time and from time to time in the open market, through negotiated or private transactions or otherwise, in each case on such terms and at such times as Qwave may deem advisable.

Qwave will be filing a report under National Instrument 62-103 The Early Warning System and Related Take-Over Bid and Insider Reporting Issues in connection with the transaction, a copy of which may be obtained from SEDAR at www.sedar.com.

About Qwave

Qwave is a venture capital firm focused on promising, technologically advanced companies. Qwave draws upon a management group with more than 20 years of experience and a strong track record of finding and investing in companies with breakthrough technologies and excellent potential for growth and value creation.

ON BEHALF OF QWAVE CAPITAL LLC

Serguei Kouzmine, Manager

For further information:

Qwave Capital LLC
3445 Stratford Road NE, 3902
Atlanta, GA 30326

Forward-Looking Information

Information and statements contained in this news release that are not historical facts are "forward-looking information" within the meaning of Canadian securities legislation that involves risks and uncertainties. Forward-looking information included herein is made as of the date of this news release and Qwave does not intend, and does not assume any obligation, to update forward-looking information unless required by applicable securities laws. Forward-looking information relates to future events or future performance and reflects management of Qwave's expectations or beliefs regarding future events. In certain cases, forward-looking information can be identified by the use of words such as "plans", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative of these terms or comparable terminology. Examples of forward-looking information in this news release include, but are not limited to, statements with respect to Qwave's intention file a report under National Instrument 62-103 The Early Warning System and Related Take-Over Bid and Insider Reporting Issues, the potential acquisition of additional Common Shares by Qwave and the potential sale of Common Shares by Qwave. This forward-looking information is based, in part, on assumptions and factors that may change or prove to be incorrect, thus causing actual results, performance or achievements to be materially different from those expressed or implied by forward-looking information.

By its very nature, forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by forward-looking information. Although Qwave has attempted to identify important factors that could cause actual actions, events or results to differ materially from forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated by such forward-looking information. Accordingly, readers should not place undue reliance on forward-looking information. The TSX-V has neither approved nor disapproved the form or content of this release. The information presented regarding the percentage of Common Shares acquired by Qwave under the Offer is based upon publicly available information and records on file with Canadian securities regulatory authorities.

Contact Information

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