SpotLite360 IOT Solutions, Inc. and TrackX Holdings, Inc. Announce a Letter of Intent (LOI) for SpotLite360 to Acquire TrackX Holdings, Inc.

DENVER and VANCOUVER, British Columbia and TORONTO, Dec. 07, 2022 (GLOBE NEWSWIRE) -- SPOTLITE360 IOT SOLUTIONS, INC. (“SpotLite360” or the “Company”) (CSE: LITE) (OTC: SPLTF) (Frankfurt: 87A) is pleased to announce that it has entered into a non-binding Letter of Intent (the “LOI”) to acquire TRACKX HOLDINGS, INC (“TrackX”) (TSX.V:TKX I Frankfurt:3TH) by way of a proposed transaction (the “Proposed Transaction”), whereby the Company will acquire all of the issued and outstanding securities of TrackX.

As part of SpotLite360’s acquisition of Captios in June of 2021, the Company acquired a software license to TrackX’s supply chain technology platform for use within the healthcare, pharmaceutical and agriculture industries. TrackX operates as an enterprise asset management company deploying SaaS-based solutions leveraging multiple auto-ID and sensor technologies for the comprehensive tracking and management of physical assets. TrackX’s Global Asset Management for Enterprises Platform enables the Industrial Internet of Things (IOT) by providing unique item level tracking, workflow processing, event management, alerting and powerful analytics to deliver solutions across a growing number of industries. On a non-exclusive basis, SpotLite360 has commercialized its TrackX license across multiple customers within its targeted industries by delivering a “powered by TrackX” suite of solutions for end-to-end supply chain tracing, tracking, sustainability and consumer proof of Environmental, Social and Governance (“ESG”) initiatives.

The Proposed Transaction is expected to be structured as a plan of arrangement, merger, amalgamation, share exchange, and/or other similar transaction that will result in TrackX becoming a wholly owned subsidiary of the Company or otherwise combining its corporate existence with that of the Company. The Company and TrackX have agreed to negotiate in good faith the terms of a definitive agreement with respect to the Proposed Transaction and to consummate the Proposed Transaction during Q1 2023.

In addition to entering into a definitive agreement between the parties, the Proposed Transaction is subject to receipt of all necessary regulatory approvals, including, as applicable, approval of the Canadian Securities Exchange ("CSE"), approval of the TSX Venture Exchange (“TSX-V”), TrackX shareholder approval, and completion of due diligence reasonable or customary in a transaction of a similar nature, among other conditions. There can be no assurance that the Proposed Transaction will be completed as proposed or at all.