Vancouver, B.C. – TheNewswire – March 14, 2022 Mobio Technologies Inc. (“Mobio” or the “Company”) is pleased to announce that today it has entered into a non-binding letter of intent (the “LOI”) dated March 14, 2022, which sets out the proposed basic terms and conditions for the 100% acquisition of Tracksuit Movers Inc. (“TMI”), a full-service moving company franchisor and Elite Window Cleaning Inc. (“Elite”), a window cleaning franchisor through a share exchange. The acquisition of TMI and Elite is subject to negotiating and entering into a binding share exchange agreement, approval by disinterested shareholders of Mobio and acceptance of the transaction by the TSX Venture Exchange.
Both TMI and Elite also operate their own corporately owned locations.
About Tracksuit Movers Inc.
Tracksuit Movers Inc. is headquartered in Lenexa, Kansas and aims to be a leading company in franchised residential moving operations across Canada and the United States. As TMI, they own all of the system and related marks, including the mark "You Move Me", and license them for exclusive use and sublicensing in Canada and the United States. TMI currently has 4 franchisee locations in Canada and 15 in the United States. Corporately run locations are operated out of the Cincinnati, Ohio, Phoenix, Arizona, and Toledo, Ohio markets.
“We are excited to join Mobio and Elite on our journey in the homes service industry. You Move Me has been thoughtful and intentional on how we provide support and resources to our growing franchisee base. We believe You Move Me joining this team of entrepreneurs will make a difference in the long-term growth trajectory of You Move Me.” Josh Herron, Co-CEO of TMI
About Elite Window Cleaning Inc.
Elite Window Cleaning Inc. is headquartered in Kingston, Ontario and offers professional and affordable window cleaning services. Elite offers a wide variety of window cleaning services from high-rise towers to residential homes. They currently have 6 franchisee locations in Canada and have a corporately run location in Kingston, Ontario.
“The opportunity to join Mobio and work alongside like-minded entrepreneurs has presented us with the momentum and collaborative structure to realize our growth plan over the coming five years. By working alongside brands like You Move Me and adopting best practices from parallel home service companies within a single ecosystem, I believe the collaboration will help solidify Mobio within the home services industry.” Chris Stoness, CEO of Elite
Information Concerning the Proposed Transaction
Mobio plans to acquire TMI and Elite by exchanging shares at the following valuations:
TMI $12,000,000 CAD
Elite $2,110,000 CAD
The shareholders of TMI and Elite will be issued shares in Mobio at the market value at closing of the transaction based upon the valuations above. Notwithstanding the foregoing, $610,000 CAD of the consideration paid for the shares of Elite will be paid in cash. Concurrently with the acquisition of the TMI and Elite, Mobio will need to complete a private placement equity financing of $3,000,000 to $4,000,000 CAD.
All non-arm’s length debt of Mobio, approximately $600,000 CAD, will be converted to equity at or prior to closing at market value and Mobio will sell its subsidiary Strutta.com Media Inc. (“Strutta”) to a related party.
The transactions contemplated by the LOI, including the private placement, will require entering into a binding share exchange agreement, majority approval of disinterested shareholders of Mobio at a special meeting of Mobio shareholders, audited financial statements of all companies involved in the proposed transaction, and acceptance of the transaction by the TSX Venture Exchange. Mobio, TMI and Elite will be negotiating and preparing a final binding agreement.
Mobio plans to conduct additional brand acquisitions in the home services space with a view to developing a synergistic portfolio of brands that drive maximum shareholder value.
“Bringing together strong brand operators like You Move Me and Elite Window Cleaning will create a solid foundation for our future mobile-centric, customer-first vision. We see opportunity in both organic growth of these great businesses and further acquisitions that fulfill our vision.” Laurie Baggio, CEO of Mobio.
About Mobio Technologies Inc.
Mobio is a publicly traded company on the TSX Venture Exchange, headquartered in Vancouver, BC, and runs Strutta.com Media Inc. Strutta is a social promotions platform that helps marketers bring potential customers from stranger to fan to customer, and Strutta’s Promotions API provides a technology platform that facilitates social media competitions and campaigns for global brands. For more information visit www.mobio.net.
For additional information please contact:
Laurie Baggio, CEO Tel: 604-805-7498 [email protected]
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
Other than statements of historical fact, all statements included in this news release, including, without limitation, statements regarding future plans and objectives of Mobio are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Factors that could cause actual results to differ materially from those expected by Mobio are those risks described herein and from time to time, in the filings made by Mobio with Canadian securities regulators. Those filings can be found on the Internet at: http://www.sedar.com under the profiles of Mobio.
Neither the TSX Venture Exchange nor its Regulatory Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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