TORONTO, ONTARIO--(Marketwired - March 16, 2017) -
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES
Big Data Analytics company, AnalytixInsight Inc. (TSX VENTURE:ALY) (the "Company" or "AnalytixInsight") announces it has completed the previously announced acquisition of certain assets of Euclides Technologies, Inc. ("Euclides") relating to Euclides' field service management integration business (the "Euclides Transaction"). The Company also announces the termination of the previously announced potential investment by AnalytixInsight into Fixify Ltd. ("Fixify").
Pursuant to the terms of the asset purchase agreement dated November 24, 2016 (the "Purchase Agreement") between AnalytixInsight, Euclides and the shareholders of Euclides, AnalytixInsight has paid USD$200,000 in cash and has issued 5,389,400 common shares of AnaltyixInsight (the "Common Shares") as consideration for the assets of Euclides. Euclides has also achieved the revenue milestone terms as set out in the Purchase Agreement with Euclides' 2016 revenues and order backlog exceeding USD$4 million. Accordingly, AnalytixInsight has issued to Euclides 3,311,125 common share purchase warrants (the "Milestone Warrants"). Each Milestone Warrant allows the holder thereof to purchase one (1) Common Share at a price of $0.20 per share until March 16, 2020.
All of the securities issued by the Company pursuant to the Euclides Transaction will be subject to a lock-up agreement pursuant to which: (i) the holders shall be restricted from selling or transferring such securities during the 12 months after their issuance (the "Lock-Up Period"), and (ii) after such 12 month period, the holder shall be required to provide the Company with 60 days' prior written notice before selling or transferring such securities. The 60 day prior written notice period can be satisfied during the Lock-Up Period.
Euclides is an expert Systems Integrator and consulting partner for field service management solutions and has touch points to over 100,000 field service personnel. Euclides is headquartered in Cambridge, MA.
AnalytixInsight, Fixify and the shareholders of Fixify have decided to terminate the share purchase agreement dated November 24, 2016 between such parties (the "Termination"). The Fixify shareholders have instead agreed to work cooperatively with AnalytixInsight, Euclides and Euclides' strategic partners to develop products and analytics software solutions which best serve the needs of Euclides' customers and strategic partners. Pursuant to the Termination, AnalytixInsight will not be required to pay USD$1.0 million to acquire a 20% interest in Fixify and no break fees will be paid by either party.
Prakash Hariharan, President & CEO of AnalytixInsight, commented: "We are very pleased to complete this acquisition and begin our work together with the Euclides team to develop workflow analytics solutions. This transaction is financially accretive to our shareholders and we believe our combined teams will create compelling new revenue streams within this evolving industry."
Adi Hod, CEO of Euclides, commented: "We are excited to join the AnalytixInsight team and our customers have shown strong support for this transaction. We look forward to building analytics solutions for our clients and expanding our capabilities."
In connection with the Euclides Transaction, AnalytixInsight has granted a total of 1,225,000 stock options to various consultants and employees pursuant to its stock option plan. The options may be exercised at a price of $0.24 per option for a period of five (5) years from the date of grant. The grant of options remains subject to the approval of the TSX Venture Exchange.
AnalytixInsight also reports that it has applied to the TSX Venture Exchange to extend the term of 3,406,250 common share purchase warrants (the "Warrants") issued on April 5, 2016 until April 5, 2018. Each Warrant currently entitles to the holder thereof to purchase one (1) common share at a price of $0.25 until April 5, 2017.
On behalf of the Board of Directors of
Prakash Hariharan, President & CEO
ABOUT ANALYTIXINSIGHT INC.
AnalytixInsight Inc.'s technology platform helps transform data into narratives. The Company's online portal CapitalCube (www.capitalcube.com) and mobile platform MarketWall (www.marketwall.com) provide high-quality financial research and content for investors, information providers, finance portals and media. The Company's disruptive technology algorithmically analyzes market price data and regulatory filings to create insightful, actionable narratives and research on approximately 50,000 global companies and ETFs - all available as a cloud-based, SaaS offering. This platform capability is extensible to other asset classes and sectors to generate insightful research reports.
CapitalCube and MarketWall have existing business relationships with leading global financial and media institutions. For more information about AnalytixInsight visit www.analytixinsight.com.
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, without limitation, statements regarding each of the Euclides Transaction and the Termination, the proposed extension of the Warrants, the business and/or assets of Euclides, the FSM industry, the expected benefits of the Euclides Transaction and Termination, the grant of stock options and the Company's business. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of AnalytixInsight Inc., as the case may be, to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; the Company's technology and revenue generation; risks associated with operation in the technology sector; ability to successfully integrate new technology and employees; foreign operations risks; and other risks inherent in the technology industry. Although AnalytixInsight has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. AnalytixInsight does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
AnalytixInsight Inc. Scott Urquhart VP Corporate Development (416) 522-3975