Cryptoblox signs amended deal for Blockchain Fintech
Cryptoblox Technologies Inc. has signed a binding amended and restated share purchase agreement, dated Oct. 31, 2024, to acquire 100 per cent of Blockchain Fintech Unipessoal Ltda., a Portuguese corporation that develops blockchain-based financial technologies. The amended agreement revises the terms of the acquisition originally announced on March 5, 2024.
"The company is extremely pleased to secure this very strategic acquisition, which, upon closing, will complete the final division of our diversified blockchain ecosystem strategy," stated Akshay Sood, chief executive officer of Cryptoblox.
"We have been working very hard on this deal and are absolutely thrilled to be in a position to reach an amended agreement," continued Mr. Sood.
Under the amended agreement, Cryptoblox will acquire 100 per cent of the outstanding shares of Blockchain Fintech in consideration for the issuance of 25 million common shares of Cryptoblox at a deemed price of 20 cents per consideration share, having an aggregate deemed value of $5-million. Completion of the transaction remains subject to customary closing conditions, including approval of the Canadian Securities Exchange and the satisfaction of Cryptoblox with respect to its due diligence. A finder's fee of 1.75 million common shares will also be payable on closing. In addition to the issuance of the consideration shares, the amended agreement provides for earnout consideration payable to the vendors of Blockchain Fintech, whereby: (i) upon completion of development of a non-custodial cryptocurrency wallet mobile application using Blockchain Fintech's technology, 10 million additional common shares of Cryptoblox will be issued; (ii) upon the company earning its first $500,000 in cumulative revenue from the app or any product developed and published, released or otherwise distributed based on intellectual property acquired from Blockchain Fintech, a further 10 million earnout shares will be issued; (iii) upon the company publishing, releasing or otherwise distributing a product (excluding the app), a further 10 million earnout shares will be issued; and (iv) upon the company publishing, releasing or otherwise distributing a second product (excluding the app), a further 10 million earnout shares will be issued. All earnout shares, if and when issued, will be issued at a deemed issue price of 20 cents per share.
"I would like to thank all of the hard-working stakeholders at Cryptoblox and Blockchain Fintech for their patience and determination in working towards this acquisition. I wholeheartedly believe this acquisition will complete the foundation to building one of the most exciting companies in our industry," expressed Mr. Sood.
"We are excited to continue our journey with Blockchain Fintech and are confident that this acquisition will drive significant value for our shareholders," concluded Mr. Sood.
About Cryptoblox Technologies Inc.
Cryptoblox Technologies is a blockchain technology infrastructure company focusing on building out its diversified blockchain ecosystem strategy that consists of digital asset mining and infrastructure, mining products and technology, and structured blockchain products and services.
