IGEN Networks Corp and Prolog
Execute LOI for Merger
Lake Elsinore, CA -- January 17, 2023 -- InvestorsHub NewsWire --
IGEN Networks Corporation (OTC:
IGEN, CSE:
IGN), a leading innovator of Internet of Things
(IoT) solutions for the consumer automotive, asset management,
and supply-chain industries, today announces the successful
completion of a Letter-of-Intent (LOI) for the purchase of 51% of
Prolog privately held shares on January 13, 2023. The
purchase in the form of IGEN common shares will be approximately
$900K to $1.1M USD paid through multiple tranches based on
achieving minimum revenue thresholds over 12 months from the
closing date of the definitive agreement. Transaction share
price and close date will be established in the definitive
agreement. Revenue thresholds for Prolog will range from
$1.8M to $3.5M USD over 12 months for international opportunities
and will be fully recognized by IGEN.
Neil G. Chan, CEO of IGEN stated, "This merger creates a unique
combination of knowledge and technologies for the supply-chain
industry globally. Along with our consultancy practice, IGEN
will offer comprehensive end-to-end logistic solutions that include
facilities and warehouse management, GPS telemetry and inventory
tracking, fleet asset management and maintenance through-out the
supply-chain of commercial and government organizations."
Juan Ignacio Avila, CEO of Prolog stated, "We are excited with the
opportunities of this merger with IGEN. Prolog has proven its
leadership in providing comprehensive logistics, supply-chain,
maintenance, and management solutions to some of the largest and
most complex organizations in Mexico, Spain, and Central
America. Through IGEN channels in the US, we can now apply
our 25 years of technology expertise and experiences to the US
markets along with participating in the growth of our businesses
together."
The Letter-of-Intent (LOI) is a non-binding agreement and will
establish the basic terms for the definitive agreement between IGEN
Networks Corp and Prolog. This transaction will be arm's
length as additional terms may be added, and existing terms may be
changed or deleted. Definitive terms will include a PCAOB
qualified financial audit.
About IGEN Networks
Corporation
IGEN Networks Corporation creates software services for the
consumer automotive and commercial asset management industries
enabling their customers to better manage their assets and protect
their drivers. IGEN is a fully reporting company in both
Canada and the United States. It is publicly traded on the OTC
Markets under the symbol IGEN, and listed on the CSE under the
symbol IGN. For more information, please visit: www.igennetworks.net
About Prolog
Prolog is a technology development and logistics consulting company
with over 25 years of experience in the development of
supply-chain, logistics, telematics, and asset management
solutions. Prolog operates in Mexico, Spain, and Central
America with more than 1200 clients, 80 distribution centers, and
250,000 vehicles utilizing its asset management
platforms.
For more information,
please visit:
www.prolog.com.mx
Forward-Looking
Statements
This news release may contain forward-looking statements or
forward-looking information within the meaning of the U.S. Private
Securities Litigation Reform Act of 1995 and Canadian securities
law. The terms and phrases "goal", "commitment", "guidance",
"expects", "would", "will", "continuing", "drive", "believes",
"indicate", "look forward", "grow", "outlook", "forecasts",
"intend", and similar terms and phrases are intended to identify
these forward-looking statements. Forward-looking statements are
based on estimates and assumptions made by IGEN in light of its
experience and its perception of historical trends, current
conditions and expected future developments, as well as other
factors that IGEN believes are appropriate in the circumstances,
including but not limited to statements regarding investment
liquidity, financing options and long term goals of the Company,
general economic conditions, IGEN's expectations regarding its
business, customer base, strategy and prospects, and IGEN's
confidence in the cash flow generation of its business. Many
factors could cause IGEN's actual results, performance or
achievements to differ materially from those expressed or implied
by the forward-looking statements, including, without limitation:
risks related to competition; IGEN's reliance on key personnel;
IGEN's ability to maintain and enhance its brand; and difficulties
in forecasting IGEN's financial results, particularly over longer
periods given the rapid technological changes, competition and
short product life cycles that characterize the mobile application
industry. These risk factors and others relating to IGEN that may
cause actual results to differ are set forth in the under the
heading "Risk Factors" in IGEN's periodic filings with the British
Columbia Securities Commission and the U.S. Securities and Exchange
Commission (copies of which filings may be obtained at
www.sedar.com or www.sec.gov. These factors should be considered
carefully, and readers should not place undue reliance on IGEN's
forward-looking statements. IGEN has no intention and undertakes no
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise,
except as required by law.
Contact:
IGEN Networks Corporation
Neil G. Chan
info@igennetworks.net
1(855)912-5378
