TORONTO, Nov. 19, 2021 /CNW/ - NowVertical Group Inc.
(TSXV: NOW) ("NOW" or the "Company"), a global big
data, Vertical Intelligence (VI) software and services company, is
pleased to announce its financial results for the three and nine
months ended September 30, 2021.
Third Quarter 2021 Highlights
- Revenues and adjusted revenues for the three months ended
September 30, 2021 were $957,708, an increase of nearly 25% compared to
pro forma revenues and pro forma adjusted revenues of $768,018 for the three months ended September 30, 2020.
- Gross profit for the three months ended September 30, 2021 was $801,903, an increase of nearly 16% compared to
pro forma gross profit of $693,030
for the three months ended September 30,
2020.
- On a full year pro forma basis, including the Company's recent
acquisitions of 100% of the securities of Affinio Inc.
("Affinio") and substantially all of the assets of
DocAuthority Ltd. ("DocAuthority") , NOW's acquisition
strategy has grown revenues from zero to approximately $7.1 million for the last twelve months ended
September 30, 2021.
- On October 1, 2021, the Company
acquired substantially all of the assets of DocAuthority, an
Israeli-based data governance software-as-a-service (SAAS) platform
that helps companies save money and reduce risk by organizing,
managing and protecting their data. DocAuthority was founded in
2013, and its customers use its software platform to automatically
catalogue their data and documents to define the assets they have,
what such assets contain, where they reside, and who has access to
them, thus allowing customers to reduce risk and focus on doing
more with their data.
- On November 1, 2021 the Company
acquired 100% of the issued and outstanding securities of Affinio,
a Canadian-based audience insights and privacy-safe customer
analytics platform company. Affinio was founded in 2013 with a
focus on identifying and understanding the underpinning connections
that can exist across massive data sets. Affinio users can work
across a variety of data sources to leverage rich customer insights
and powerful privacy-safe data collaboration enterprise-wide, all
without having to move their data.
- On November 10, 2021, the Company
filed a preliminary short form prospectus with the securities
commissions or similar regulatory authorities in each of the
provinces of Canada (other than
Quebec), in connection with an
overnight marketed public offering (the "Offering") of units
of the Company (the "Units") for minimum gross proceeds of
CAD$5.0 million and maximum gross
proceeds of CAD$8.0 million and an
over-allotment option of 15%. On November
11, 2021,the Company announced that due to strong investor
demand, it has increased the size of the Offering. Under the
amended terms, the Company intends to issue the Units at a price of
CAD$0.95 per Unit, for minimum gross
proceeds of CAD$5,000,000 and maximum
gross proceeds of CAD$9,000,015
("Maximum Offering Size"). In the event the over-allotment
option is exercised in full under the Maximum Offering Size, the
aggregate gross proceeds of the Offering will be CAD$10,350,017. Closing of the Offering is
subject to customary closing conditions, including, but not limited
to, the approval of the security regulatory authorities and the TSX
Venture Exchange (the "TSXV").
"NOW has successfully acquired three innovative software
companies since going public on July 5,
2021, with each deal adding blue-chip global customers, key
management and technology leaders and new growing multi-year SAAS
revenue for the group. We are excited to continue to acquire and
integrate great companies into the NOW platform, with further
revenue growth and market expansion expected for Q4 2021 and 2022",
said Daren Trousdell, Chairman and
CEO of NOW.
Marketing Services Agreement
On November 18, 2021, NOW entered
into a marketing services agreement (the "Marketing
Agreement") with AGORA Internet Relations Corp.
("AGORACOM") pursuant to which AGORACOM will provide
marketing services in exchange for subordinate voting shares of the
Company, subject to TSXV approval. The term of the Marketing
Agreement is for 12 months effective November 1, 2021.
Pursuant to the terms of the Marketing Agreement, and subject to
TSXV approval, the Company intends to issue subordinate voting
shares equal to CAD$100,000 plus HST
to AGORACOM in instalments over the next 12 months. The number of
subordinate voting shares to be issued at the end of each period in
which AGORACOM provides services to the Company will be determined
by using the closing price of such shares on the TSXV on the first
trading day following the end of each period.
Additional Information
The Company's interim condensed consolidated financial
statements, notes to financial statements, and management's
discussion and analysis for the three and nine months ended
September 30, 2021 are available on
the Company's SEDAR profile at www.sedar.com. Unless otherwise
indicated, all references to "$" in this press release refer to US
dollars, and all references to "CAD$" in this press release refer
to Canadian dollars.
Forward–Looking Statements
This news release may contain forward–looking statements (within
the meaning of applicable securities laws) which reflect the
Company's current expectations regarding future events.
Forward-looking statements are identified by words such as
"believe", "anticipate", "project", "expect", "intend", "plan",
"will", "may", "estimate" and other similar expressions. These
statements are based on the Company's expectations, estimates,
forecasts, and projections and include, without limitation,
statements regarding the future success of the Company's
business.
The forward-looking statements in this news release are based on
certain assumptions. The forward-looking statements are not
guarantees of future performance and involve risks and
uncertainties that are difficult to control or predict. A number of
factors could cause actual results to differ materially from the
results discussed in the forward-looking statements. Readers,
therefore, should not place undue reliance on any such
forward-looking statements. Further, these forward-looking
statements are made as of the date of this news release and, except
as expressly required by applicable law, the Company assumes no
obligation to publicly update or revise any forward-looking
statement, whether as a result of new information, future events or
otherwise.
Neither the TSXV nor its Regulation Services Provider (as
that term is defined in the policies of the TSXV) accepts
responsibility for the adequacy or accuracy of this
release.
About NowVertical Group Inc.
NOW is a big data, Vertical Intelligence (VI) software and
services company that is growing organically and through
acquisition. NOW's Vertical Intelligence solutions are organized by
industry vertical and are built upon a foundational set of data
technologies that fuse, secure, and mobilize data in a
transformative and compliant way. The NOW product suite enables the
creation of high-value Vertical Intelligence solutions that are
predictive in nature and drive automation specific to each high
value industry vertical. For more information about the Company,
visit
www.nowvertical.com.
SOURCE NowVertical Group Inc.