OTTAWA, May 21, 2019 /CNW/ - LEONOVUS
INC. ("Leonovus") (TSXV: LTV) (OTC:
LVNSF) is pleased to announce that DIGIMAX GLOBAL
SOLUTIONS ("DigiMax") (CSE: DIGI) has been
appointed as Business Development Consultant by Leonovus. The
purpose of the appointment is to assist Leonovus in preparing to
issue a Digital Security Offering ("DSO"), also commonly called a
Security Token Offering ("STO") in the
United States and in other selected global
jurisdictions.
DigiMax will take all steps necessary to assist Leonovus to
prepare the requisite information to attract a syndicate of
registered Broker/Dealers to raise approximately USD 25,000,000 (the "Target Amount") into
Leonovus (the "Private Placement") for the Galaxa project. These
consulting services include the recruitment of a Lead United States
based licensed Broker/Dealer of Securities and other selling
syndicate partners registered in their respective countries
(collectively the "Syndicate"). DigiMax will earn a consulting
fee of USD 437,500 on a percentage of
completion basis of the Target Amount plus a work fee of
USD 15,000.
The scope of work includes recruiting and assisting
Leonovus to enter into a direct engagement between
Leonovus and a Lead Registered Broker/Dealer in the United
State; recruit other potential registered broker/dealers from
around the world to work directly with Leonovus and the Lead
Broker/Dealer.
Leonovus previously announced the engagement of RockTree
Capital Management Limited ("RockTree") of Beijing and New
York to provide certain placement services to the Company in
connection with its planned DSO/STO. DigiMax intends to work
closely with Rocktree and build a larger investment syndicate.
DigiMax will not perform any functions that require registration
with securities regulators anywhere around the world.
"DigiMax is excited to be able to work with Leonovus to create a
global network of registered broker/dealers that can raise the
funds for the DSO/STO being offered by Leonovus for their Galaxa
project," said Chris Carl, DigiMax
CEO. "By working as part of the Leonovus team, DigiMax can
assist in ensuring Leonovus is working with the highest quality
broker/dealers knowledgeable in the Digital Security industry,"
said Carl.
"I believe that Leonovus is at the forefront of the tokenization
of securities. Indeed, our vision of the Galaxa project could not
be achieved without tokenization. The evolution from the
crowd-funding nature of ICOs (Initial Coin Offerings) of the last
several years to full compliance with securities regulators of STOs
(Security Token Offerings) was very much needed. We are pleased to
be at the forefront of this new market and excited that Leonovus is
expected to be one of the first public companies in the world to
issue a digital security," said Michael
Gaffney, Leonovus Chairman and CEO.
About the Leonovus Galaxa Project -
www.galaxa.com
The current rapidly growing cloud storage marketplace is an
oligopoly and GALAXA will be disrupting this market concentration.
GALAXA's blockchain and marketplace technology is designed to help
manage this growth either in the cloud or on-premises and provide
an open platform for developers to add new enterprise
products/services.
Once built and implemented, GALAXA plans to accelerate the
global development and implementation of Anything as a Service
("XaaS") offerings by independent developers that share a worldwide
network of enterprise-grade distributed data storage and
distributed compute assets. Unlike the proposed technology of many
ICOs and blockchain projects, much of the core technology for
GALAXA is already designed, developed and deployed by Leonovus.
Since it began operations in 2011, the Company has invested
$31 million in the development of its
geo-distributed software-defined storage and distributed compute
software.
Enterprise-class customers need a mechanism to discover, verify
and use distributed services, be they cloud-based or on-premises,
which meets their requirements for flexibility, efficiency,
capability, security and compliance. Similarly, the providers of
these enterprise-class XaaS in the GALAXA marketplace, need a
cost-effective mechanism to make their services available,
including verified capabilities and quality of service, for a broad
vendor-neutral set of customers across multiple verticals and
target markets. GALAXA plans to ensure that the exchange of
services and payments is simple, efficient and verified with a
Proof of Provided Service consensus algorithm and scales to
millions of transactions per second.
About DigiMax - www.digimax.global
DigiMax Global Solutions is based in Toronto, Canada and is a company aiming to
become a world leader in advising companies issuing digital
securities, such as security tokens.
DigiMax was formed by five partners, three which bring
experience in the cryptocurrency and security token industry, and
two which have more than forty years of combined experience raising
capital through public companies and the issuing of common shares.
This partnership brings together all of the benefits and expediency
of raising capital though security tokens, with a team that has
decades of experience raising capital in conventional securities
markets. The result is a team that combines expertise from both the
token, and the conventional public capital markets.
This press release may contain forward-looking statements and
information, which may involve risks and uncertainties. The
results or events predicted in these statements may differ
materially from actual results or events. Factors that might cause
a difference include, but are not limited to, competitive
developments, risks associated with Leonovus' growth, the state of
the financial markets, regulatory risks and other factors. There
can be no assurance or guarantees that any statements of
forward-looking information contained in this release will prove to
be accurate. Actual results and future events could differ
materially from those anticipated in such statements. These
and all subsequent written and oral statements containing
forward-looking information are based on the estimates and opinions
of management on the dates they are made and expressly qualified in
their entirety by this notice. Unless otherwise required by
applicable securities laws, Leonovus disclaims any intention or
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or
otherwise. Readers should not place undue reliance on any
statements of forward-looking information that speak only as of the
date of this release. Further information on Leonovus'
public filings, including its most recent audited consolidated
financial statements, are available at www.sedar.com.
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.
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SOURCE Leonovus Inc.
