Snipp Interactive Inc. (OTCQB: SNIPF) (TSX-V: SPN), a global provider of digital marketing promotions, rebates and loyalty solutions, today announced that it has signed a new MSA with a global household and personal care products consumer goods company and the first Statements of Service worth C$860,000+ pursuant to the MSA. The MSA and C$860,000+ contract were the result of the Company winning a competitive bid to continue to provide services in 2018 for this client in the US and Canada. Snipp has been working with this client since 2016 and is delighted that it was selected to continue the relationship for a third year in a row. The new contract covers a single Q4’2018 promotion and the MSA will cover a period of one year.
The Company is also pleased to announce the closing of its final tranche (“Final Tranche”) of the non-brokered private placement (the “Financing”), previously announced on April 5, 2018. The Final Tranche was comprised of 10,000,000 common shares at a price of CAD $0.10 per share, for gross proceeds of CAD $1 million of which 59% was from insiders. The Company also closed an over-allotment (the “Over-Allotment”) to the Financing comprised of 2,916,667 common shares at a price of CAD $0.12 per share, for gross proceeds of CAD $350,000. The four-month hold period for all shares issued under the Final Tranche and Over-Allotment will expire on August 19, 2018 in accordance with Canadian securities laws. Finder’s fees were paid to an agent in connection with the Final Tranche and Over-Allotment and consisted of commission of CAD$36,000 and 337,000 warrants (“Finder’s Warrants”), with 222,000 Finder’s Warrants having an exercise price of CAD$0.10 and 115,000 Finder’s Warrants having an exercise price of CAD$0.12. Each Finder’s Warrant entitles the holder to purchase one common share at the applicable exercise price for a period of 2 years from the date of distribution.
“Winning a competitive bid is always a great testament to the relevance of our technology and the uniqueness of the services we provide to our clients. We are grateful for the opportunity to continue our relationship with this client,” commented Atul Sabharwal, CEO and founder of Snipp. “In addition, with the closing of our over-subscribed financing we are now in a great position to continue to innovate and disrupt in our existing markets, while also dedicating resources to the new markets we have recently entered, such as Hospitality and Cannabis. In the Cannabis market in particular, we have seen a tremendous response from an exceptionally wide range of companies. This became obvious after just a few weeks of signups for our Cannabis Marketing Resource Center (CMRC). Participating companies have ranged from large established traditional retailers such as Loblaws and media giants like the Globe & Mail, to a diverse assortment of private and public players of all sizes in the US & Canada. Interest in our CMRC has been across the entire Cannabis ecosystem, signaling that there is clearly a need for our expertise. Based on this response, we are excited to invest in and leverage our capabilities to help companies in this emerging space.”
Visit the Snipp website at http://www.snipp.com/ for Snipp’s full suite of solutions and examples of Snipp programs.
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