TORONTO, June 21, 2018 – Flow Capital Corp. (“Flow Capital” and “Flow”) today announced that it has signed a binding agreement to sell its Royalty Agreement with Agnity Global (“Agnity”), an industry leader in LTE/4G/5G mobile IoT applications, to Universal mCloud Corp (TSX-V: MCLD) (OTCQB: MCLDF) (“mCloud”).
Pursuant to the sale, mCloud will pay Flow Capital $2M USD in cash and 1.5M in mCloud shares at close, and another 3.5M shares if certain milestones are met.
“We are excited to be shareholders in mCloud, given the company’s proven team and track record, and the global market opportunity that it is attacking. We’re also very pleased to be participating in Agnity’s continued growth through mCloud. This deal is an example of Flow Capital’s strategy of leveraging our upside exposure to benefit from the success of our portfolio companies,” said Robb McLarty, Acting Chief Executive Officer of Flow Capital.
For mCloud, this transaction extends the company’s capacity to reach all parts of North America, Asia, and Europe and solidifies its position as the eminent provider of IoT asset management solutions for smart buildings, wind, and power utility providers.
“mCloud’s AssetCare platform is now connected to over 15,000 assets around the world and Agnity’s mobile capabilities are already being applied to our AI and Analytics offerings in the field, empowering field workers to achieve successful outcomes,” said Russel McMeekin, mCloud President and CEO. “This transaction will allow mCloud to offer enhanced IoT capabilities to our customers, such as blockchain-based mobile security, while simultaneously doubling our high-margin recurring revenue base and positioning mCloud for profitability in the near term.”
The Binding Agreement is subject to customary regulatory approval and a break up fee.
About Flow Capital Corp.
Based in Toronto, Flow Capital Corp. is a diversified alternative asset investor and advisor, operating two divisions: an investment operation providing revenue-linked capital to emerging growth businesses, and an institutional advisory sales platform providing pension funds, charities and endowment clients with access to leading institutional money managers from around the world. Learn more at www.flowcap.com.
About Universal mCloud Corp.
Universal mCloud Corp. is headquartered in Vancouver, BC with technology and operations centers in San Francisco, CA and Bristol, PA. mCloud is an IoT connected asset care cloud solution company utilizing connected IoT devices, leading deep energy analytics, secure mobile and 3D technologies that rally all asset stakeholders around an Asset-Circle-of-Care™, providing complete real-time and historical data coupled with guidance and advice based on deep analytics and diagnostics resulting in optimal performance and care of critical equipment. It’s all about the asset. The powerful and secure AssetCare™ environment is accessible everywhere, 24/7 through standard mobile devices, ruggedized headsets, and web browsers. For more information, visit www.mCloudCorp.com.
For further information, please contact:
Flow Capital Corp.
Robb McLarty
Chief Executive Officer (Acting)
robb@flowcap.com
Phone: (416) 777-0383
1 Adelaide Street East, Suite 3002,
Toronto, Ontario M5C 2V9
Universal mCloud Corp.
Madelin Daviau
NATIONAL | Equicom
T: 416-848-9833
mdaviau@national.ca
Russ McMeekin
Chief Executive Officer
Universal mCloud Corp.
T: 415-635-3500
Certain statements herein may be “forward-looking” statements that involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Flow or the industry to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether such results will be achieved. A number of factors could cause actual results to vary significantly from the results discussed in the forward-looking statements. These forward-looking statements reflect current assumptions and expectations regarding future events and operating performance and are made as of the date hereof and Flow assumes no obligation, except as required by law, to update any forward-looking statements to reflect new events or circumstances.
