The company plans to raise up to $1.8 million from the placement of up to 3 million units priced at $0.60 per unit. Each unit consists of 1 share and one-half a warrant, with each full warrant exercisable at $0.70 per share for 24 months, subject to an acceleration clause.
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I’m Nadika Viswakula for Investmentpitch Media
NexTech AR Solutions, one of the leaders in the rapidly growing augmented reality industry, has announced a non-brokered private placement.
The company plans to raise up to $1.8 million from the placement of up to 3 million units priced at $0.60 per unit. Each unit consists of 1 share and one-half a warrant, with each full warrant exercisable at $0.70 per share for 24 months, subject to an acceleration clause.
The shares are currently trading at $0.58.
In 2019, the company has made 3 revenue-generating accretive acquisitions and has signed an LOI setting the stage for its fourth acquisition in 2019.
Management is projecting to be cash flow positive in 2019 as it grows its revenue to US$9.3 million generating US$5 million in gross profits and more than US$2 million in EBITDA just from the AR-enabled eCommerce division, with additional upside to revenue from its AR SaaS business which is now starting to sign up customers and scale.
Evan Gappelberg, CEO, stated: "This is a very exciting time for our company as we are both making accretive acquisitions and signing up eCommerce clients to our AR SaaS platform. We see the market for Augmented Reality and its rapid adoption only accelerating as the biggest brands on the planet have gotten behind AR. As the adoption of AR accelerates across all platforms, including iOS and Android, NexTech will be a big winner as it sits right in the middle of this adoption. Only this week on May 20th, 2019 we press released that our client Budweiser is using our ARitize ™ app to celebrate its 25th anniversary of the Budweiser stage in Toronto. Our unique and innovative AR-3D technology offerings are proving to be very attractive to both large and small companies seeking to deploy this incredibly powerful marketing tool. This financing will allow us to accelerate our already-aggressive growth targets."
Having integrated with Shopify, Magento and Wordpress, the company’s technology offers eCommerce sites a universal 3D shopping solution.
With just a few lines of embed code, the company's patent-pending platform offers the most technologically advanced 3D augmented reality/artificial intelligence technology available.
According to Gartner, Inc., the world’s leading research and advisory company, “Augmented reality and virtual reality have the potential to shake up the customer experience by individualizing retailers’ offers and enabling customers to visualize products in different settings. By 2020, 100 million consumers will shop in AR online and in-store.”
For more information, please visit the company’s website at www.NexTechAR.com, contact Evan Gappelberg, CEO, at 866-274-8493 or email info@NexTechAR.com.
I’m Nadika Viswakula for Investmentpitch Media
