Revised Terms For Sale of MVID Stake to Propel IVS Listing
Sydney, May 16, 2016 AEST (ABN Newswire) - Invigor Group Limited (
ASX:IVO) advises that it has signed a binding term sheet with IVS Holdings Limited ("IVS") to vary previous commercial arrangements for the acquisition by IVS of the IVS Group, which includes the My Verified ID Holdings Pty Ltd group ("MVID").
- Binding terms to sell MVID stake to IVS
- Total expected value at completion of $2.3m
- Cash component of $1.1m, including $100K received
- Upside potential in IVS listing with $1.2m shares to be issued
Under the agreed terms:
- IVS has paid Invigor a $100,000 variation and extension fee;
- Invigor will receive $500,000 when IVS completes a pre-IPO fund raising. Such fund raising is expected to be completed within 90 days;
- Invigor will receive a further $500,000 from IVS completing an IPO. The IPO is expected to be completed by no later than 30 October 2016 with the final timeframe to be determined; and
- Invigor will be issued shares in IVS to the value of $1.2 million. The number of shares will be determined by the IPO issue price. It is intended that the shares will be held in voluntary escrow for a minimum period of 3 months from listing date and then progressively released from escrow during the following 9 months subject to ASX Listing Rules requirements.
Formal documentation reflecting the agreed terms is being prepared.
Invigor Chairman and CEO, Mr Gary Cohen said: "We are pleased that we have agreed with IVS the new transaction terms to enable the holding in MVID to be fully realised in a way that brings value to all involved. With the shareholding in IVS, we will be able to participate in upside from the eventual listing of IVS whilst also ensuring that Invigor has additional liquidity from receiving the $1.2m in cash."
About Invigor Group Ltd
Invigor Group (ASX:IVO) uses its complementary suite of big data products to source, aggregate, analyse and publish content for the benefit of businesses and consumers.
Today its interconnected data sets enable enterprise clients including retailers, brands, shopping centres and government bodies to identify and better understand competitors, consumers, markets and demographics while providing the consumer with the best value-for-money.
Using its current products and a pipeline of additional offerings Invigor will have the ability to provide an end-to-end solution spanning sales, product management, business intelligence, marketing, advertising, content creation and distribution, while monetising each step of the process.
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