Globalive Technology Reports Results for Third Quarter of 2018

TORONTO, Nov. 14, 2018 /CNW/ - Globalive Technology (TSX-V: LIVE) (the "Company"), a technology and software commercialization firm developing and investing in innovative solutions to disrupt traditional industries, today announced financial and certain operational results for its third quarter ending September 30, 2018.

"We continue to make great strides developing the technologies and the partnerships we believe will drive significant revenue opportunities for our shareholders," said Anthony Lacavera, the Company's founder and Chief Executive Officer. "I'm excited by our progress to date and confident in the future of our company."

For a summary of the financial results, see the Selected Q3 Financial Highlights set out below as well as more detailed information contained in the Company's interim financial statements and related management discussion and analysis quarterly highlights which are available on the Company's SEDAR page at www.sedar.com.

SELECTED Q3 OPERATIONAL HIGHLIGHTS

Key milestones and operational developments for the Company in its third quarter include:

• Senior Secured Debentures (2629331 Ontario Inc.): Following the end of the third quarter, on October 10, 2018 and November 9, 2018, the Company acquired senior secured convertible debentures of 2629331 Ontario Inc. ("262 Ontario") in the aggregate principal amount of $7,500,000. 262 Ontario holds 41.4% of the equity and 51% of the voting securities of Wellspring Holding Corporation, the parent of Flexiti Financial Inc. ("Flexiti"), a collaborator and financial technology lender offering technology-enabled instant credit approvals at the point-of-sale for big-ticket retailers.
  
  
• Credit AI Adjudication Platform: The Company is working directly with Flexiti under a technology stack agreement to prototype a credit lending adjudication engine which may be used to offer services in conjunction with Flexiti's 3,500 merchant locations and one million customers.
  
  
• Consolidated Billing Platform: On September 17, 2018, the Company completed the initial organization and set-up of its joint venture with Sponsor Energy Inc. ("Sponsor"). The joint venture will develop a utility commerce management platform that bundles the billing for utility services and other similar household bills into a single consolidated invoicing and payment regime. The joint venture is being carried out through a special purpose vehicle, Neighbor Billing Inc. ("Neighbor"), which is owned equally by Sponsor and the Company, but controlled by the Company.  Neighbor will own the intellectual property associated with the platform and will have the right to commercialize its use in utilities and related markets. The Company has been granted an exclusive, royalty-free license by Neighbor to commercialize the intellectual property in other markets.
  
  
• Mining-as-a-Service Joint Venture: On June 11, 2018, the Company entered into a joint venture agreement with HyperBlock Inc. ("Hyperblock") to provide digital currency mining-as-a-service to retail customers. The joint venture also generates digital currency for the Company when it has excess capacity that is not being used to service customers, which is converted into U.S. dollars on a monthly basis. The joint venture launched in June 2018 and all of its 800 servers were fully operational by the middle of July 2018, generating gross revenues of $376,938 during the third quarter.
  
  
• Joint Venture with Business Instincts Group Inc. (Globalive BIG Dev Inc.): The Company and Business Instincts Group are continuing their joint venture on a full service, agile development and continuous delivery software development firm dedicated to building and launching innovative new technologies. The joint venture is being carried out through a special purpose vehicle, Globalive BIG Dev Inc. ("GBD"), which is owned 51% by the Company and 49% by Business Instincts Group Inc.  The financial statements of the Company and GBD were consolidated for the third quarter.
  
  
• Investments: The Company continues to make strategic investments in existing and potential future collaborators and other strategic partners. During the third quarter, the Company allocated capital into Acorn Biolabs Inc., XBL Investments Inc. and FastForward Innovations Ltd. 

After the Financial Period but prior to the MD&A Date, the Company also made an investment in the Blockchain and Artificial Intelligence Fund established by Creative Destruction Labs at the University of Toronto.

SELECTED Q3 FINANCIAL HIGHLIGHTS

Key financial characteristics of the Company as at the end of its first, second and third quarters were:

ABOUT GLOBALIVE TECHNOLOGY

Globalive Technology is a next generation software company and venture partner that is developing and investing in innovative solutions to disrupt traditional industries. The company forms partnerships with leading high growth companies to develop and commercialize software solutions using optimal technology stacks. It is controlled by Globalive Capital Inc., which has founded and co-founded 12 businesses over the past 20 years with six successful exits ranging from $10M to $1.3B USD, has made over 100 venture investments and has over 45 technology companies in its portfolio. For more information, visit www.globalivetech.com.

CAUTION REGARDING FORWARD-LOOKING INFORMATION

This news release contains forward-looking statements relating to the Company, its software development projects and its joint ventures. Such forward-looking statements are identified by terms such as "will", "to prototype", "potential" and similar expressions. All statements, other than statements of historical fact included in this release, including those noted above, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations include software not functioning as expected, competitors operating in the same spaces or industries, third-parties not using the software as expected, economic conditions making the technologies or licenses not as attractive as expected, collaborators' and investment recipients' businesses not performing as expected, and other risks as set out in the Company's Filing Statement available on its SEDAR page at www.sedar.com.

The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The Company cannot guarantee that any of the forward-looking statements contained in this press release will occur as disclosed herein or at all. The reader is cautioned not to place undue reliance on any forward-looking information.

Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Company will only update or revise publicly the included forward-looking statements as expressly required by Canadian securities law.

FOR FURTHER INFORMATION, PLEASE CONTACT:

For media inquiries:
Rob Moysey
Communications Manager, Globalive
[email protected]

For investor inquiries:
Melanie Barbeau
Account Manager, Renmark Financial Communications
[email protected]

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 release

SOURCE Globalive Technology