Ackroo Announces $3,000,000 Strategic Private Placement

HAMILTON, Ontario, Oct. 20, 2020 (GLOBE NEWSWIRE) -- Ackroo Inc. (TSX-V: AKR; OTC: AKRFF) (the “Company”), a loyalty marketing, gift card and payments technology and services provider, is pleased to announce a non-brokered private placement of $3,000,000. The private placement will provide the Company with the capital to pursue future strategic acquisitions and to provide organic growth opportunities. Shen Capital Partners Inc. or an affiliated entity (“Shen Capital”) will be the lead investor with a minimum of $2,000,000 under this private placement.

In connection with the private placement, the Company will issue up to 25,000,000 units (each, a “Unit”) at a price of $0.12 per Unit. Each Unit will consist of one common share of the Company and one common share purchase warrant, entitling the holder to purchase one additional common share of the Company (a “Warrant Share”) at a price of $0.18 per Warrant Share for a period of thirty-six (36) months from the date of the issuance. The warrants are subject to accelerated expiry in the event the closing price of the Company’s shares on the TSX Venture Exchange is $0.28 or more for 20 consecutive trading days on or after 18 months from the date of issuance. The Company may elect to pay finder’s fees to certain eligible persons who have introduce qualified investors to the Company.

In connection with the subscription from Shen Capital, upon closing of the private placement, the Company has agreed to grant Shen Capital the right to nominate one member to the Board of Directors, who shall initially be Francis Shen, and one board observer, who shall initially be Andrew Shen.

The private placement will be completed pursuant to available exemptions from prospectus requirements under applicable securities laws. All securities issued in the private placement will be subject to a statutory hold period ending four months and one day after issuance. Completion of the private placement remains subject to the approval of the TSX Venture Exchange.

About Ackroo

Through vendor and industry consolidation, Ackroo provides merchants of all sizes a data driven cloud based multi-currency marketing platform to help attract, engage and grow their customers while increasing their revenues and margins. Through a SaaS based business model Ackroo provides an in-store and online automated solution to help merchants process loyalty, gift card and promotional transactions at the point of sale, provide key administrative and marketing data, and to allow customers to access and manage their loyalty and gift card accounts. Ackroo also provides important marketing and payment services to assist their merchants with utilizing Ackroo’s technology solution and to provide a single point of contact for all of their primary merchant currencies. Ackroo is headquartered in Hamilton, Ontario, Canada. For more information, visit: www.ackroo.com.

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The TSX Venture Exchange has neither approved nor disapproved the contents of this press release. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward Looking Statements
This release contains forecasts and forward-looking statements that are not guarantees of future performance and activities and are subject to risks and uncertainties. The Company has based these forward-looking statements on assumptions and assessments made by its management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. Important factors that could cause actual results, developments and business decisions to differ materially from those anticipated in these forward-looking statements include, but are not limited to: the Company’s ability to raise enough capital to support the Company’s go forward plans; the overall global economic environment; the impact of competition and new technologies; general market, political and economic conditions in the countries in which the Company operates; projected capital expenditures and liquidity; changes in the Company’s strategy; government regulations and approvals; changes in customers’ budgeting priorities; plus other factors that may arise. Any forward-looking statements in this press release are made as of the date hereof, and the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.