- OMT Technologies Inc., a subsidiary of AnalytixInsight, being sold in exchange for cancellation of all related debt
- AnalytixInsight to be debt-free commencing in or around Q3 2014.
Vancouver, BC - Big data analytics company AnalytixInsight Inc. (TSX-V: ALY) (the "Company" or "AnalytixInsight") has entered into a Share Purchase Agreement dated June 4, 2014, pursuant to which the Company has agreed to dispose (the "Transaction") of its wholly owned subsidiary, OMT Technologies Inc. ("OMT"), to 652420 B.C. Ltd. (the "Purchaser"). The Purchaser is a privately held company incorporated under the laws of British Columbia. Subject to the receipt of all necessary regulatory and shareholder approvals, the Purchaser shall acquire all of the issued and outstanding securities of OMT. In exchange, the Purchaser shall forgive and cancel all of the debt owed by the Company to the Purchaser in the approximate amount of $4,416,038.22 plus accrued interest. It is anticipated that the Transaction will constitute a reviewable transaction under the policies of the TSX Venture Exchange (the "Exchange").
The Transaction was first considered as part of the Company's acquisition of CapitalCube Corp in 2013. After the completion of the Transaction, the Company will be debt-free commencing on or around Q3 2014.
"This transaction provides a couple of advantages to us," said Chaith Kondragunta, CEO of AnalytixInsight. "Our balance sheet is stronger and the spinoff allows us to focus on our core business of big data analytics. We are now well placed to execute with respect to our strong pipeline of institutional customers and strategic partnerships, primarily with financial institutions and business media companies. We expect to announce these in the coming quarters."
Completion of the Transaction is subject to a number of conditions, including the receipt of all required shareholder, regulatory and third party consents, including Exchange approval, and satisfaction of other customary closing conditions. The 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.
On behalf of the Board of Directors of ANALYTIXINSIGHT INC. Prakash Hariharan, Chairman
ABOUT ANALYTIXINSIGHT INC.
AnalytixInsight Inc.'s technology platform helps transform data into narratives. The Company's online portal www.capitalcube.com and mobile platform Stockwall 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 Stockwall have existing business relationships with leading global financial and media institutions. For more information about CapitalCube visit www.capitalcube.com. For more information about Stockwall visit www.stock-wall.com.
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, without limitation, statements regarding the Transaction and the debt forgiveness. 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. Stetson 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.