Urbanimmersive Enters Final Stages of Negotiations With Tourbuzz

Urbanimmersive (TSXV:UI) announced that it has completed its due diligence process and is now entering the final stages of negotiations with Tourbuzz, its contemplated acquisition it previously announced.

As quoted in the press release:

After obtaining a deeper understanding of Tourbuzz through the due diligence process, we have identified that the combined company would support 1500 real estate photographers serving around 61,000 real estate agents, compared to 53 current photographers for Urbanimmersive serving 2500 total real estate agents. Urbanimmersive has also identified that Tourbuzz average monthly revenue per agent is around $4 CAD compared to $52 CAD for Urbanimmersive, further validating the potential synergies of the combined company.

As part of the previously announced private placement intended to be used to finance the acquisition by the Corporation of Tourbuzz, LLC, the Corporation wishes to inform that it has received a senior debt financing proposal for the amount of near $1.6M CAN from a Quebec-based traditional bank, conditional to the acquisition and other usual terms and conditions, which if accepted by the Corporation, would reduce shareholder dilution to complete the minimum required to complete the transaction.

The Corporation also wishes to announce that it has signed a memorandum of understanding with one of the leading real estate portals in North America for a potential partnership with Urbanimmersive, post-transaction to the acquisition of Tourbuzz. The potential partner doesn’t want to be named at this moment and as the discussions are still at an early stage—there is no guarantee the parties will reach an agreement

“We are pleased to see that even before closing the acquisition, the market reach that will have our real estate content marketing platform in North America and the marketing services that it provides to real estate agents are already recognized and valued by one the largest player in the real estate industry. This further validates and reinforce the strategic move taken by Urbanimmersive to acquire Tourbuzz, and we look forward to expeditiously closing this transaction.” Stated Ghislain Lemire, CEO, Urbanimmersive Inc.

The closing of the Private Placement related to the acquisition of Tourbuzz is expected to occur on or about June 27, 2018, and is subject to applicable regulatory approvals, including approval of the TSX Venture Exchange.

Click here for the full press release.