TORONTO, May 27, 2019 /CNW/ - Globalive Technology (TSX-V:
LIVE) (the "Company"), a technology and software commercialization
firm focused on and investing in innovative solutions to disrupt
traditional industries, including retail consumer finance, today
announced its financial and operational results for the first
quarter of 2019 (the "Financial Period").
"We are increasing our focus on the technologies and
partnerships that we believe will provide the greatest revenue
opportunities for our shareholders, particularly in the retail
finance space," said Anthony
Lacavera, the Company's founder and Chief Executive
Officer.
For a summary of the financial results, see the Selected Q1
Financial Highlights set out below as well as more detailed
information contained in the Company's interim financial statements
and related management discussion and analysis quarterly highlights
which are available on the Company's SEDAR page at
www.sedar.com.
SELECTED Q1 OPERATIONAL HIGHLIGHTS
Key milestones and operational developments for the Company in
the first quarter of 2019 include:
- Interest in FLX Holding Corp. / Flexiti Financial
Inc.: The Company continues to extend its interest in
Flexiti Financial Inc. ("Flexiti"), a Canadian point-of-sale retail
lender:
-
- On January 9, 2019 and
February 20, 2019, the Company
announced it is exercising its call right to acquire 2629331
Ontario Inc. ("262 Ontario"), the
controlling shareholder of FLX Holding Corp. ("FLX"), the parent
company of Flexiti, under a previously disclosed put, call and
right of first refusal agreement dated June
21, 2018. The exercise of the call right is subject to
certain conditions precedent, including the Company's satisfaction
that adequate financing can be obtained to fund FLX and Flexiti.
There can be no assurance at this time that a transaction will be
completed.
- On February 22, 2019, FLX
completed a pre-emptive rights offering for Series 2 Class B
Preferred Shares of FLX, which was made available to FLX
shareholders pro rata according to their existing interests in the
company. The Company participated in the FLX rights offering
directly for its share of 1.5% ($225,000) and advanced a $3,000,000 loan to 262 Ontario to allow it to
participate for its share of 41.4% of the rights offering
($2,635,000).
- Consolidated Billing Platform: The Company has
been engaged in developing a utility commerce management platform
that bundles the billing for utility services and other similar
household bills into a single consolidated invoicing and payment
regime for Neighbor Billing Inc. ("Neighbor"), its business venture
with Sponsor Energy Inc. During the Financial Period, Neighbor
successfully completed an initial launch of the platform to its
first customer and successfully secured a second customer. However,
following a thorough consideration of market conditions and
strategic alternatives, the Company announced on April 17, 2019 that it will be ending the
Neighbor business venture.
Investments: The Company has made and continues to
make strategic investments in existing and potential future
collaborators and other strategic partners. During the Financial
Period the Company allocated a small amount of capital into Xtreme
Blockchain Labs Inc., and after the Financial Period the Company
made further small allocations into Xtreme Blockchain Labs Inc. and
Pitchpoint Solutions Inc.
SELECTED Q1 FINANCIAL HIGHLIGHTS
Key financial characteristics of the Company for its four most
recently completed quarters were:
|
|
March 31,
2019
|
Dec 31,
2018
|
Sept 30,
2018
|
Jun 30,
2018
|
|
|
|
|
|
|
|
Cash
|
|
8,393,157
|
13,436,845
|
23,816,933
|
26,354,036
|
|
Working
capital*
|
|
8,924,056
|
13,546,228
|
25,368,757
|
28,834,853
|
|
Total
Assets
|
|
36,098,955
|
38,311,011
|
46,110,725
|
50,467,083
|
|
Total
Liabilities
|
|
(652,311)
|
(1,046,334)
|
(381,077)
|
(248,492)
|
|
Change in unrealized
gain (loss) from investments
|
|
(163,688)
|
(921,536)
|
(1,797,444)
|
(7,965,849)
|
|
Net income (loss)
before taxes for the period
|
|
(1,708,286)
|
(9,630,988)
|
(4,861,959)
|
(10,117,783)
|
|
Deferred tax recovery
(expense)
|
|
–
|
–
|
--
|
912,778
|
|
Net income (loss)
from continuing operations for the period
|
|
(1,708,286)
|
(9,630,988)
|
(4,861,959)
|
(9,205,005)
|
|
Net income (loss)
from discontinued operations for the period
|
|
(490,100)
|
–
|
–
|
–
|
|
Net income (loss) and
comprehensive income (loss) for the period
|
|
(2,198,386)
|
(9,630,988)
|
(4,861,959)
|
(9,205,005)
|
|
|
* Note that "working
capital" does not have any standardized meaning prescribed by IFRS
and may not be comparable to similar measures presented by other
companies. Working capital consists of current assets minus current
investments minus current liabilities plus promissory notes.
Working capital excludes any digital assets and investments. For a
more detailed explanation of management's approach to working
capital and the risks and uncertainties of using this financial
measure to evaluate the Company's performance, please see the
Company's filing statement dated May 29, 2018.
|
ABOUT GLOBALIVE TECHNOLOGY
Globalive Technology is a next generation software company and
venture partner that is developing and investing in innovative
solutions to disrupt traditional industries, with a particular
focus on the retail consumer finance industry. The company forms
partnerships with leading high growth companies to develop and
commercialize software solutions using optimal technology stacks.
It is controlled by Globalive Capital Inc., which has founded and
co-founded 12 businesses over the past 20 years with six successful
exits ranging from $10M to
$1.3B USD, has made over 100 venture
investments and has over 45 technology companies in its portfolio.
For more information, visit www.globalivetech.com.
CAUTION REGARDING FORWARD-LOOKING
INFORMATION
This news release contains forward-looking statements relating
to the Company, its software development projects and its joint
ventures. Such forward-looking statements are identified by terms
such as "will", "believe", "can be", "subject to" and similar
expressions. All statements, other than statements of historical
fact included in this release, including those noted above, are
forward-looking statements that involve risks and uncertainties.
There can be no assurance that such statements will prove to be
accurate and actual results and future events could differ
materially from those anticipated in such statements. Important
factors that could cause actual results to differ materially from
the Company's expectations include a breakdown in the Company's
relationship with its strategic and transactional partners,
difficulties or delays in raising the necessary financing to
complete a transaction, an inability to satisfy the conditions
precedent to a transaction, economic conditions affecting the
Company or its transaction partners, unexpected issues or delays in
winding-up and/or liquidating certain of the Company's investments
and subsidiaries, changes to the Company's strategic plan and other
risks as set out in the Company's filing statement dated
May 29, 2018 available on its SEDAR
page at www.sedar.com.
The reader is cautioned that assumptions used in the preparation
of any forward-looking information may prove to be incorrect.
Events or circumstances may cause actual results to differ
materially from those predicted as a result of numerous known and
unknown risks, uncertainties, and other factors, many of which are
beyond the control of the Company. The Company cannot guarantee
that any of the forward-looking statements contained in this press
release will occur as disclosed herein or at all. The reader is
cautioned not to place undue reliance on any forward-looking
information.
Such information, although considered reasonable by management
at the time of preparation, may prove to be incorrect and actual
results may differ materially from those anticipated.
Forward-looking statements contained in this news release are
expressly qualified by this cautionary statement. The
forward-looking statements contained in this news release are made
as of the date of this news release and the Company will only
update or revise publicly the included forward-looking statements
as expressly required by Canadian securities law.
FOR FURTHER INFORMATION, PLEASE CONTACT:
For media inquiries:
Rob Moysey
Communications Manager, Globalive
Media@globalivetech.com
For investor
inquiries:
InvestorRelations@globalivetech.com
Neither the 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
SOURCE Globalive Technology
