February 18, 2016, DeepMarkit Corp. (“DeepMarkit” or the “Company”) (TSX-V:MKT) is pleased to provide an update on the development of its SaaS online marketing and promotions business. The business includes a self-service platform for the creation, customization and operation of promotional campaigns for businesses of all types and sizes. As last reported, (December 7, 2015) core functionality of the platform has been completed and the Corporation is now focused on completion of the e-commerce and administrative components of the platform as well as building out the creative library of the elements used in building and customizing promotional campaigns.
In addition to completion of the platform development work, the Corporation is also focusing on the business elements related to the launch of the product. These elements include internal testing and Q&A, development of the FetchBot product website and the finalization of our marketing plans and materials. The Corporation has entered into an agreement with its first third-party beta test customer and expects to begin beta testing in Q1, 2016 with open beta testing and the public launch in Q2.
“We are very pleased to be nearing the end of our development phase and to being able to zero in on operations” stated Darold H. Parken, CEO of DeepMarkit. “Our concept, our business model and our product are very unique and we are excited to bring this powerful new technology to marketers and business operators of all types”
DeepMarkit’s promotions platform, FetchBot, includes a broad selection of promotion types (instant win, sweepstakes, giveaways, etc.), along with a wide variety of fun and engaging games that clients can add to their promotion. Platform and social media integration, combined with comprehensive reporting and analytics further add to the effectiveness of the FetchBot platform.
Increasing business complexity and continuous drive for efficiency require time and cost saving services. DeepMarkit, through its FetchBot platform, provides an innovative solution that will deliver these savings in the context of engaging and entertaining marketing and promotions.
The digital ad SaaS and self-serve models have revolutionized online business and represent multi-billion dollar revenues and high growth patterns. DeepMarkit is aiming to strategically position its FetchBot brand in the mid-market (between large global brands and small local businesses) where the demand for such a solution is expected to be the strongest.
In order to fund its near-term operations, the Corporation has entered into a secured Debenture financing with Rupertsland Investment Corp,( the “Lender”) a private company controlled by Ranjeet Sundher, an insider of the Corporation. Pursuant to the Debenture financing the Lender has agreed to advance $500,000 of an up to $1-million Debenture financing, bearing an interest rate of ten percent per annum. The proceeds of the Debenture financing will be used for continuing working capital requirements of the Corporation and will remain in place while the Corporation explores longer-term financing options to support and expand its business. The Debenture will have an 18 month term and may be repaid at any time without penalty. The Debenture is secured by the assets of the Corporation. As consideration for entering into the Debenture financing, the Corporation will pay to the Lender a loan establishment fee in the amount of $20,000. The entering into of the Debenture financing was considered and approved by the Board of Directors of the Corporation. Mr. Sundher declared a conflict and recused himself from voting on the matter. The remaining directors voted unanimously to approve the Debenture financing. Pursuant to Multilateral Instrument 61-101 — Protection of Minority Security Holders in Special Transactions, entering into the Debenture financing will be a related party transaction. The Corporation is exempt from the requirements to obtain a formal valuation or minority shareholder approval in connection with the Debenture financing in reliance on sections 5.5(a) and 5.7(a), respectively, of MI 61-101, as neither the fair market value of the subject matter of the Debenture financing, nor the fair market value of the consideration for the Debenture financing exceeds 25 percent of the Corporation’s market capitalization as calculated in accordance with MI 61-101. The material change report in respect of the Debenture financing is being filed less than 21 days before the closing of the initial advance under the Debenture, as the Corporation requires the funds it received under the first advance immediately to finance its ongoing operating costs.
About the Company
DeepMarkit is a technology company that provides marketing and promotional tools allowing online marketers and business operators to attract customers through online games. DeepMarkit’s customers can easily create their promotional campaigns and customize and brand their games with the FetchBot platform. The platform includes a full range of features that allow merchants to not only engage their customers and sell more product, but also increase their customer base and build powerful appealing brand awareness.
FetchBot is designed to promote brand awareness, drive lead generation and data acquisition, reward loyalty and generate sales for businesses with physical and/or an online presence.
For more information, please contact:
President & CEO
Darold H. Parken
Exec. VP Corporate Development
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 news release.
There can be no assurance that the products being developed by the Company will be completed or that, if completed, such products will be accepted in the marketplace. Trading in the securities of the Company should be considered highly speculative.
The forward-looking statements contained in this press release are made as of the date of this press release, and DeepMarkit does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as required by securities law.