TORONTO , Jan. 18,
2023 /CNW/ - Prodigy Ventures Inc. (TSXV: PGV)
("Prodigy" or the "Company") today announced that it
has completed the previously announced (see press release dated
December 30, 2022) disposition (the
"Transaction") by the Company of all of the issued and
outstanding shares of TCB Corporation ("TCB"), the Company's
wholly-owned subsidiary, doing business as Prodigy Labs. The sale
was made to UST Global (Canada)
Inc. (the "Buyer"), a party that is at arm's length to
Prodigy.
Pursuant to the terms of the Transaction, Prodigy is entitled to
receive cash consideration of up to $12.5
million, $8.5 million of which
was paid on closing and up to $4
million of which is payable upon achieving certain EBITDA
and revenue targets. The earn-out payment of up to $4 million is anticipated to be paid within sixty
(60) days following the expiry of the earn-out period ending on
June 30, 2024. In addition, Prodigy
is entitled to a payment in respect of TCB's working capital on
closing which is anticipated to be approximately $600,000 but will vary based on the amount
of accounts receivable collected following closing of the
Transaction. There were no finders fees payable in connection with
the Transaction.
Following completion of the Transaction, Prodigy intends to
focus its efforts on its IDVerifact and FICANEX Technology
businesses while continuing to review additional M&A
opportunities and other strategic alternatives. The Transaction
completes the strategic transformation of Prodigy into a pure SaaS
platform business, which has been its objective since
inception.
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.
About Prodigy Ventures Inc.
Prodigy delivers Fintech innovation. The Company provides
leading edge platforms, including IDVerifact™ for digital identity,
and tunl.™ for open banking and customer chat support, coupled with
seamless integration of our partners best-of-breed Fintech
platforms.
About UST
For more than 23 years, UST has worked side by side with the
world's best companies to make a real impact through
transformation. Powered by technology, inspired by people, and led
by our purpose, we partner with our clients from design to
operation. Through our nimble approach, we identify their core
challenges, and craft disruptive solutions that bring their vision
to life. With deep domain expertise and a future-proof philosophy,
we embed innovation and agility into our clients'
organizations—delivering measurable value and lasting change across
industries, and around the world. Together, with over 30,000
employees in 30+ countries, we build for boundless impact—touching
billions of lives in the process. Visit us
at www.UST.com.
Forward-Looking and Cautionary Statements
Certain information set out in this news release constitutes
forward-looking information. Forward looking statements are often,
but not always, identified by the use of words such as "seek",
"anticipate", "plan", "continue", "estimate", "expect", "may",
"will", "intend", "could", "might", "should", "believe" and similar
expressions. Such forward looking information includes references
to the Prodigy's plans following completion of the Transaction.
Although the Company believes that the expectations reflected in
such forward-looking statements are based upon reasonable
assumptions, and that information obtained from third party sources
is reliable, they can give no assurance that those expectations
will prove to have been correct. Readers are cautioned not to place
undue reliance on forward-looking statements included in this
document, as there can be no assurance that the plans, intentions
or expectations upon which the forward-looking statements are based
will occur. By their nature, forward-looking statements involve
numerous assumptions, known and unknown risks and uncertainties
that contribute to the possibility that the predictions, forecasts,
projections and other forward-looking statements will not occur,
which may cause actual results in future periods to differ
materially from any estimates or projections of future performance
or results expressed or implied by such forward-looking statements.
These risks and uncertainties include, among other things, risk
factors set forth in the Company's Management's Discussion and
Analysis for the three and nine months ended September 30, 2022, a copy of which is filed on
SEDAR at www.sedar.com. Readers are cautioned that this list of
risk factors should not be construed as exhaustive. These
statements are made as at the date hereof and unless otherwise
required by law, the Company does not intend, or assume any
obligation, to update these forward-looking statements.
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.
SOURCE Prodigy Ventures Inc.
