Cann-Is Capital Corp. Announces Qualifying Transaction with Uptempo Inc.
TORONTO, June 02, 2020 (GLOBE NEWSWIRE) -- Cann-Is Capital Corp. (the “Corporation”) (TSX-V: NIS.P) is pleased to announce that it has entered into an engagement agreement dated
June 1, 2020 with Uptempo Inc., a company incorporated under the laws of Canada (“Uptempo”), pursuant to which the Corporation will acquire all of the issued and outstanding shares
in the capital of Uptempo (the “Proposed Transaction”). The Transaction is not a non-arm’s length “Qualifying Transaction” for the Corporation, as such term is defined in Policy
2.4 of the Corporate Finance Manual of the TSX Venture Exchange (the “Exchange”).
When completed, the Proposed Transaction will constitute the Corporation's qualifying transaction pursuant to the policies of the Exchange and is subject to compliance with all necessary regulatory and other approvals and certain other terms and conditions. A comprehensive press release with further particulars relating to the Proposed Transaction will follow in accordance with the policies of the Exchange.
Uptempo is a leading Fintech platform, with consumers in over 45 states in the US. The company’s proprietary technology creates bespoke payment and cash management solutions for consumers, which allow consumers to pay their bills and loans in smaller more frequent payments, based on their personal cash and loan profiles. The effects of using technology to automatically curate cash management for consumers are substantially improved delinquencies for lenders, and a more expeditious reduction in liabilities over time for consumers, which in turn should improve their personal credit profile over the life of the program. Uptempo pays over 300 lenders on behalf of over 40,000 consumers with over US $21 Million in liability payments being made monthly and total Liabilities Under Management (“LUM”) today exceeding US $1.3 Billion and growing. Uptempo drives revenue through wholesale partner channels, direct channels and consumer direct channels and earns recurring monthly revenue paid by consumers for processing payments on their behalf using complex store and forward rule sets. Uptempo partners with banks to deliver deposits to their balance sheets, and pays fees for the custody of consumer funds, while earning high margins for its services to consumers.