Last Week, Rich brought you some exciting news from a company combining the best things about the logistics and the digital payment industries. On Monday, September 23, LiteLink Technologies Inc. (CSE:LLT) (OTCPK:LLNKF) announced that its subsidiary, uBUCK Technologies SEZC, is engaging in a non-brokered private placement.
Today, Rich follows up on that news by revealing that uBUCK has completed the first tranche of its private placement. The company issued 800,000 preferred shares to an investor at $0.50 per share for gross proceeds of $400,000 USD. The investor is expected to make a minimum investment of $1.5 million for 3 million shares by June 30, 2020. After that, the investor has the option to invest a further $2.5 million for a total of 8 million shares by September 30, 2021.
“This is a company that I believe is underappreciated, underexposed, and undervalued,” says Rich. “I think there is huge upside with LiteLink Technologies, so let’s break down the news.”
Details of the Private Placement
LiteLink shareholders will not have their shares diluted as a result of the private placement. The initial expected investment of $1.5 million will give the investor a 6% ownership in uBUCK. If the investor opts to make the full investment of $4 million, this would result in a 16% ownership in uBUCK.
Per the announcement, uBUCK will use the proceeds of the private placement to finalize development of the uBUCK and Streambucks digital wallets. Some funds will also go towards accelerating growth, increasing customer acquisitions, and conducting additional product testing.
“This is big news, [uBUCK] is now in the money,” says Rich. “They now have the funds to grow their business, which means so does LiteLink.”
Background on uBUCK and LiteLink
uBUCK Technologies SEZC is a fintech enterprise specializing in digital payments and wallets. The company’s online payments platform and pin voucher solution, uBUCK Pay, provides consumers, businesses, and merchants an alternative to traditional payments (like cash or credit card transactions).
This alternative is fast, secure, and commission-free. Users can pay with digital currencies, and customers can purchase pin vouchers within the uBUCK Pay app or at participating re-sellers.
uBUCK’s parent company, LiteLink Technologies, is a major player in developing world-class enterprise platforms that utilize artificial intelligence, blockchain, and predictive analytics.
Through these innovations, LiteLink helps solve fragmented and outdated technology problems in the logistics and digital payment industries. The company’s flagship logistics platform, 1SHIFT, offers brokers, shippers, and carriers the ability to track shipments and settle payments in real-time.
Earlier this month, LiteLink signed a major customer agreement with Brookdale Treeland Nurseries Ltd. This is the first step in LiteLink’s goal is to become the dominant logistics platform used by nurseries in Canada.
More Good News from LiteLink
“[LiteLink’s] been on an epic run this month,” explains Rich. “On August 30, they were as low as $0.075, and they finished on Friday [Sept. 27] at $0.175. That’s a 150% jump on this stock in the last month alone.”
Rich also notes that analysts and financial publishers all across the internet are starting to take notice of LiteLink. It is currently considered one of the top penny stocks to watch, with a consistent “BUY” rating on Investing.com based on technical indicators.
The company also has a four-star rating and has received a “Fair Value” of $0.22 from Morningstar.
“This news is everywhere, but now the question is, where does this stock go from here?” asks Rich.
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