RewardStream Solutions Inc. Provides Corporate Update
The Company is pleased to announce that it is now trading on the Borse Frankfurt Exchange in Germany under the trading symbol JL4L and WKN number A2APX1.
The Company's common shares commenced trading on the TSX Venture Exchange as a Tier 2 technology issuer under the symbol "REW" on August 4, 2016.
Closing of Change of Business Transaction
As announced on July 28, 2016, the Company has completed its previously-announced amalgamation (the "Amalgamation") with Musgrove Minerals Corp.
The Company's principal business is the design, administration and management of automated referral and recommendation marketing programs. Its current customers are primarily telecommunications providers, financial institutions and e-commerce companies, however the RewardStream platform is adaptable to different types and sizes of customers. Current customers include Rogers, Virgin Mobile, Koodo Mobile, Boost Mobile, a major U.S. mobile phone company and First West Credit Union.
"We are very pleased to have completed our financing and amalgamation" said Rob Goehring, Chief Executive Officer of RewardStream. "Our platform helps brands acquire new customers by empowering existing customers to refer their friends and family to products and services they use. By leveraging the trust relationship between friends, we can help make the process of purchasing faster, easier and more rewarding for consumers. For our clients, we make it easy to launch new referral programs and generate new customers at a very low cost per acquisition."
Concurrent with the completion of the Amalgamation, the Company completed a non-brokered private placement (the "Private Placement") for gross proceeds of $2,028,500. Total funds raised in connection with financings completed since the announcement of the Amalgamation amount to $2,128,500.
The Company currently has 38,657,069 shares issued and outstanding of which:
- 5,999,510 shares and 434,216 warrants are subject to Tier 2 Value escrow restrictions, with 10% released on closing of the Amalgamation ("Closing") and 15% released every six months thereafter.
- 9,708,818 shares are subject to a one year hold period, with 20% released on Closing and every three months thereafter.
- 5,016,184 shares are subject to a three year hold period, with 10% released on Closing and 15% released every six months thereafter.
The Company's current board of directors consists of the following members: Ralph Turfus (Chairman), Rana Vig (Vice Chairman), Rob Goehring, Norman Brewster and Martin Bernholtz.
The Company's management team is as follows:
- Rob Goehring, CEO. Mr. Goehring is a seasoned technology executive with over 17 years of experience leading early stage, high growth, scalable companies. Most recently he was the Chief Marketing Officer at TIO Networks (TSXV:TNC), where he led the B2B teams for Marketing and Account Management. He was also responsible for the strategy for TIO Wallet - TIO's cloud based digital wallet - that processed millions of transactions per month, totaling over $1 billion per year in bill payments via its self serve kiosk, over-the-counter, web and mobile payment solutions.
- Buzz Hemphill, VP Sales. As the VP Sales for PayByPhone, Buzz helped grow the start-up company to acquisition by PayPoint plc for approximately $43 million. In the 9 years at PayByPhone, Buzz oversaw growth from 10,000 to over 2 million transactions a month and from 8 to 120 clients organization in over a thousand locations including the City of San Francisco, New York City (pilot) and City of Miami. Previously as the VP Sales of Class Software Solutions ltd., Buzz helped maintain a 35% growth rate and grew the company to $18 million in revenue. He expanded Class into multiple vertical markets: recreation, City Hall, universities and YMCA and grew the sales team to twelve people, increased the average deal size by 30%, averaged 80 new customers annually.
- Neil Parker, VP Product and Marketing. Mr. Parker has been a product management and marketing leader in high tech for more than 20 years, and has brought successful products to market for companies like Glenayre, Infowave, Sierra Wireless, Dyaptive (JDSU), Contigo, Vision Critical and Contractually. He has a passion for helping clients solve their challenges in compelling ways, and specializes in B2B solutions.
- Kevin Campbell, Senior Software Architect. Kevin is the lead software architect at RewardStream, having designed and lead development of the Spark referral platform for the last 5 years. During this time, Kevin has designed, developed, and launched successful loyalty and referral marketing solutions for clients around the world, and has overseen the design and implementation of core platform improvements, websites, social media integrations, and API framework. Kevin is a passionate technologist, with deep interest and understanding of software architecture, modern web frameworks, mobile devices and tech policy. Prior to RewardStream, Kevin spent time at CAE and OpenText as a software engineer and holds a bachelor's degree in Mathematics and Engineering from Queen's University.
- Devin Redlich, VP Operations. As a senior Operations executive, Devin has spent the past 18 years managing and tooling technology based organizations for scalability and growth in IT, Customer Support, Logistics, and Service Delivery. Most recently as EVP, Operations for TIO Networks (TSXV:TNC), Devin led a complete re-architecting of a multi-datacenter service delivery environment, oversaw a multi-tiered customer support division including overseas call centers, and managed the operations and logistics of a nation-wide network of self-serve bill payment terminals.
- Charles Abel, CFO. Mr. Abel is responsible for managing RewardStream's financial operations. He has held financial positions of increasing responsibility throughout his professional career, for both public and private companies in the high tech and biotech industries. In his various roles, He has raised over $20 million in equity and debt financings and managed company budgets in excess of $10 million. Mr. Abel holds a CGA-CPA designation and has an executive M.B.A. from Simon Fraser University.
"We thank the RewardStream shareholders for their commitment to supporting and growing the company," said Goehring. "Our team is comprised of technology and business leaders with tremendous experience to help take RewardStream to the next level."
The Company also announces that the holder of a previously-issued convertible note has elected to convert the outstanding principal amount and interest of $217,488 into 869,954 common shares of the Company which are subject to a one year hold period, with 20% released on Closing and every three months thereafter.
Neither 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 release.
Rana Vig, Vice Chairman
Rob Goehring, Chief Executive Officer
Forward-Looking Information: This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. Important factors - including the availability of funds and the results of financing efforts - that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.