OTTAWA, May 10, 2016
/CNW/ - Ackroo Inc. (TSX-V: AKR) (OTC: AKRFF) (the "Company"),
a gift card, loyalty and rewards technology and services provider,
has reached an agreement to amend the payment terms for its
acquisition of Dealer Rewards Canada, a SaaS based loyalty rewards
company tailored to the automotive sector. Under the current
terms of the acquisition Ackroo is required to complete payments
totaling $1,130,000 prior to January
2017. Ackroo and Dealer Rewards Canada have agreed to extend
the current terms and balance an additional 24 months until
January 2019.
Under the new payment terms Ackroo will pay the vendor
$330,000 on or before July 1st, 2016 and will complete a
series of twenty-four monthly payments of $36,916 commencing in January 2017. The
monthly payments include an agreed upon 10% interest payment.
Ackroo has also attached conversion provisions to the remaining
cash payments whereby the vendor may elect to receive shares of
Ackroo, in lieu of the applicable cash payments, based on the
current 20 day volume-weighted average trading price at the time of
election. Any share issuances are subject to the prior
approval of the TSX Venture Exchange.
In light of the extension of the payment terms with Dealer
Rewards, the Company's current capital requirements have been
significantly reduced and as such the Company will not be seeking
the full $2,000,000 of its previously
announced private placement offering. Instead the Company
will close the offering by no later than May
31st 2016 based on proceeds received up to that
date. Closing remains subject to the approval of the TSX Venture
Exchange.
About Ackroo
Ackroo provides gift card and loyalty processing solutions to
help small to medium sized businesses attract, retain and grow
their customers and their revenues. Through a SaaS based business
model Ackroo provides an in-store and online automated solution to
help merchants process gift card & loyalty transactions at the
point of sale, provide key administrative and marketing data, and
to allow customers to access and manage their gift card and loyalty
accounts. Ackroo also provides important marketing services to
assist their merchants with utilizing Ackroo's technology solution.
Ackroo is headquartered in Ottawa,
Canada. For more information, visit: www.ackroo.com.
The TSX Venture Exchange has neither approved nor disapproved
the contents of this press release. Neither TSX Venture Exchange
nor its Regulation Services Provider (as that term is defined in
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
SOURCE Ackroo Inc.