August 17, 2018 / TheNewswire / Calgary, Alberta – NovaTeqni Corporation ("NovaTeqni" or the "Corporation") (TSXV: NTQ) is pleased to announce that it has entered into a Purchase Order Financing Agreement for up to US$ 675,000 ("PO Financing Agreement) and an Accounts Receivable Factoring Agreement for up to $ 2,000,000 ("Factoring Agreement") with Pivot Financial Inc. ("Pivot"). Pivot is arm’s length to the Corporation and will serve as one of the Corporation’s financing partners for various projects. As security for these financing arrangements the Corporation has granted Pivot a general security interest and the CEO of the Corporation has pledged real estate property as collateral. The PO Financing Agreement and the Factoring Agreement will provide the Corporation with funds for production financing to fulfill tenders and contracts and for general working capital as required. Factoring and PO financing costs in terms of the facilities will be factored into projects as ‘financing cost’. The factoring fee pursuant to the Factoring facility is set at 1.75% and cost for the PO Financing facility is set at 2.5%, both per month for the first month and pro rata on a daily basis thereafter until re-payment from project proceeds.
Gerhard Mynhardt, CEO of Novateqni stated: "We are very pleased to have been able to secure Pivot as a financial partner. It will allow us to rapidly execute awarded contracts in the future such as from the UN with Pivot as a funding partner. This partnership also enables NovaTeqni to aggresively compete for business within our widely acknowledged area of expertise including our solar powered field and fixed based solutions for the public and corporate sectors".
Kevin Westfall, President of Pivot Financial stated: "It has been a pleasure working with Novateqni to quickly arrange the financing to meet their current and growing needs. We look forward to supporting their aggressive plans for growth by providing fast and flexible financing to ensure they can meet their customers needs on time, every time".
For further information, please contact Gerhard Mynhardt, Chief Executive Officer of the Corporation, by email at email@example.com.
This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify forward-looking information or statements. More particularly and without limitation, this news release contains forward looking statements and information concerning the Corporation’s business operations and the proposed uses of funds from the financing arrangements. The forward-looking statements and information are based on certain key expectations and assumptions made by the Corporation, including expectations and assumptions concerning the business of the Corporation. Although the Corporation believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward looking statements and information because the Corporation can give no assurance that they will prove to be correct. By its nature, such forward-looking information is subject to various risks and uncertainties, which could cause the actual results and expectations to differ materially from the anticipated results or expectations expressed. Some of the risks and other factors that could cause the results to differ materially from those expressed in the forward-looking information include, but are not limited to: the Corporation’s expectations and assumptions concerning the business of the Corporation, general economic conditions in Canada and globally; industry conditions, including governmental regulation; failure to obtain industry partner and other third party consents and approvals, if and when required; the availability of capital on acceptable terms; the need to obtain required approvals from regulatory authorities; stock market volatility; competition for, among other things, skilled personnel and supplies; changes in tax laws; and the other factors. Readers are cautioned that this list of risk factors should not be construed as exhaustive.
Readers are cautioned not to place undue reliance on this forward-looking information, which is given as of the date hereof, and to not use such forward-looking information for anything other than its intended purpose. The Corporation undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
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