This Post Was Syndicated Under License Via QuoteMedia
Vancouver, British Columbia–(Newsfile Corp. – March 16, 2021) – CannaOne Technologies Inc. (CSE: CNNA) (OTC Pink: CNONF) (FSE: 3CT) (“CannaOne” or the “Company”) is pleased to announce it has entered into a memorandum of understanding for the acquisition of 51% of Direct Agent 5 Inc., (“DA5“), A Philippine-based corporation, DA5 serves as a remittance and forex licensed entity with Bangko Sentro Pilipinas (the “BSP“). DA5 processed over $500 Million USD worth of remittance and forex transactional volume over more than 1.4 million transactions in 2020.
DA5 is recognized as one of the truly premier global remittance and forex providers in the Philippines. DA5 has a 15-year operating history with over 2,350 physical locations throughout the Country to service the 110-million-person domestic population and an ever-growing and expanding international client base. DA5 offers a comprehensive mobile app for both Android and iOS, capable of various digital and eWallet payment channels and cryptocurrency trading.
It additionally provides bill payment capabilities through nationwide Bayad Centers and a multitude of additional prepaid and loan disbursement mechanisms for external micro lending companies. Finally, DA5 currently seeks approval for both a VCE (Virtual Currency Exchange) license for cryptocurrency trading and an EMI (Electronic Money Issuer) license for “Direct Credit Card Issuing and Acquiring”.
Noted Raymond Babst, CEO and Founder of Direct Agent 5 Inc., “Since I launched the business in 2006, it has always been my dream to be able to someday introduce DA5 to the rest of the World. This dream will now be a reality in the coming weeks and months. Personally, I have always felt extremely proud of the thriving business and streamlined operation and network I have been able to build throughout the Philippines. The partnership with CannaOne offers me the technical support, business expertise and financial resources necessary to allow me to immediately focus on driving the DA5 network internationally to make it the prestigious global brand I have always hoped for. I am very excited with the synergies both DA5 and CannaOne bring to the table that together will make e-Payments and Crypto exchange services more affordable and accessible to consumers around the World.”
WorldPay January 2020 Global Payments Report recently provided the following analysis on the Asian digital payment landscape, “Asia has the highest adoption of digital payments in the world. Though consumers pay in many ways, one broad trend is clear: APAC consumers are gravitating toward the use of mobile and digital wallets. A perfect storm of factors is fueling widespread use of electronic payments across the region, both in eCommerce and at the point of sale. Ubiquitous mobile devices, advanced digital infrastructure and the growing power of “superapps” have helped digital/mobile wallets rise faster in APAC than anywhere else in the World.
“With concentrated efforts by the Filipino government and its central bank, be prepared for an influx of mobile options in this highly mobile-dependent country. Coupled with the continued development of physical infrastructure, digital payments are helping to lay the groundwork for a more inclusive society-as well as an inviting market for eCommerce growth.”
“At CannaOne we are seeking to build a single financial technology layer that will connect banks, payment service providers, digital currency exchanges and remittance companies. The DA5 acquisition is a huge milestone for our organization and represents the linchpin transaction that will spearhead the immediate execution and deployment of our global financial ecosystem infrastructure for the digital age,” stated Mr. Michael Penner, the President and Chief Executive Officer of CannaOne.
CannaOne has agreed to issue an aggregate of 11,823,880 common shares to the current shareholders of DA5, with a value of $7.895-Million USD, to acquire a 51% stake in DA5. The shares to be issued are subject to the following release and pooling restrictions: 50% issued on closing; 15% after 90 days; 15% after 180 days; 10% after 270 days; and 10% after 1 year. Additionally, warrants (the “Warrants”) will be granted to purchase 2,000,000 shares of the Company at an exercise price per share based on the closing market bid price on the date of closing. The Warrant will a have a 24-month term from the date of issuance. Finders’ fees may be payable in connection with the transaction in accordance with the policies of the Canadian Securities Exchange. The securities to be issued have not and will not be registered under the US Securities Act of 1933, as amended, or any state securities laws. The completion of the transaction is subject to certain conditions, including the execution of definitive documentation, all necessary regulatory and shareholder approvals, and other customary closing conditions.
In addition, the Company has granted 4,300,000 stock options at $1.06 for a period of 5 years to certain directors, officers and consultants of the Company.
ABOUT CANNAONE TECHNOLOGIES:
Since inception, CannaOne has focused on development and deployment of its proprietary online marketplace platform. The Company has sought to create a payment and financial technology platform to support merchant and consumer transactions within its platform. As such, since March 2017 the Company has worked closely with payment technology providers in South East Asia, to create the greatest potential for future growth in the world’s fastest growing digital payment markets. With the existence of ever-evolving international relationships with parties specifically focused on the facilitation of payment processing and bank acquiring infrastructure, the Company sees potential to increase revenue over time with the continued integration and utilization of complete payment processing capabilities. The Company will look to expand its online client portfolio to include additional business sectors, such as those to most effectively service the payment processing requirements of e-commerce providers.
CannaOne seeks to become a global leader in financial technology, solutions, and services for merchants as it works hand in hand with select niche banking partners. CannaOne intends to integrate PCI certified payment solutions with its proprietary and proven online marketplace technology platform to offer a truly comprehensive suite of products and services to serve B-to-B merchant clientele. The Company has targeted banking relationships outside of North America, (specifically in South East Asia), and by working with selected banking or licensed EMI partners, our solutions may include merchant acquiring solutions; integrated payment solutions; global eCommerce solutions; core processing and ancillary applications solutions; digital and online marketplace solutions, including internet, mobile and eBanking; fraud, risk management and compliance solutions; electronic funds transfer and network services solutions; and/or card and online retail payment solutions. The Company is focused on organic growth while investigating potential strategic acquisitions, that may contribute critical technology applications, services and immediate revenue streams that can complement or enhance our existing offerings and potentially increase or expedite our path to future profitability.
For more information, please contact:
Michael Penner, CEO
NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATIONS SERVICES PROVIDERS HAVE REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
FORWARD-LOOKING STATEMENTS: Certain information contained herein may constitute “forward-looking information” under Canadian securities legislation, including with respect to the acquisition of DA5 and the business plans of DA5 and the Company. Generally, forward-looking information can be identified by the use of forward-looking terminology such as, “will be”, or variations of such words and phrases or statements that certain actions, events, or results “will” occur. Forward-looking statements are based on the Company’s estimates and are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance, or achievements of CannaOne to be materially different from those expressed or implied by such forward-looking statements or forward-looking information, including capital expenditures, other costs, or implied future forecasts. There can be no assurance that the acquisition of an interest in DA5 will be completed on the terms described herein, or at all. The Company further cautions that all forward-looking statements are inherently uncertain, and that actual performance may be affected by a number of material factors, many of which are beyond the Company’s control. Such factors include, among other things: risks and uncertainties relating to the Company’s limited operating history and the need to comply with governmental regulations. There can be no assurance that such statements 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 statements and information. CannaOne will not update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/77397