KELOWNA, BC – February 21, 2019 – ProSmart Enterprises Inc. (TSXV:PROS) (“ProSmart” or the “Company”) wishes to provide its shareholders a corporate update.
Further to the Company’s press release of December 14, 2019 regarding the potential sale of all or substantially all of the assets of the Company, we would like to inform our shareholders that we continue to work with the prospective purchaser through their due diligence process and to negotiate the terms of sale. The Company will keep the shareholders updated as negotiations progress and if or when a definitive agreement is entered into as required pursuant to applicable securities laws and the policies of the TSX Venture Exchange. There can, however, be no assurances that the proposed transaction will be completed as proposed or at all. In the event that a definitive agreement is reached, the Company will call a Special Meeting of the Shareholders to approve the sale.
The Company’s shares continue to be halted and remain under a cease-trade order. If a definitive agreement is entered into, the Company will contact the TSX Venture Exchange and the BC Securities Commission to work toward having the restrictions lifted and resume trading.
In addition, the Company intends to create an independent advisory committee to review any alternative opportunities or offers that the Company might receive and to provide recommendations to the Board of Directors. Prospective committee members are expected to consist of a mix of independent industry experts representing a cross section of market verticals, as well as representatives of the Company.
We will continue to provide periodic updates and disseminate news releases as necessary.
On behalf of ProSmart Enterprises Inc.
Co-Founder & Chief Executive Officer
About ProSmart Enterprises Inc.
ProSmart Enterprises Inc. (TSX-V:PROS) is the parent company of SportgoTM, a global online network connecting sports fans, teams and brands and is an emerging leader in sports content marketing through online tools and mobile apps. SportgoTM works with over 1,500 governing bodies in more than 100 countries and provides unprecedented access to the $1.3 trillion sports market1 through its proprietary Marketplace Engine. SportgoTM is also the first-and-only online network to provide educational content created exclusively by hall-of-fame and professional athletes, which has been a key driver in user growth.
1 Source: Plunkett Research. Ltd.
For more information on ProSmart and SportgoTM, please visit the following links:
ProSmart Enterprises Inc. — http://prosmartinc.com
SportgoTM — https://www.sportgo.com/
For further information please contact:
The shares of ProSmart Enterprises Inc. trade publicly on the TSX Venture Exchange under the symbol TSXV:PROS.
“Neither 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.”
Forward-looking Statements: Certain statements in this press release are “forward-looking statements” which reflect the Company’s current expectations and projections about future events and financial trends that it believes might affect its financial condition, results of operations, business strategy and financial needs. In some cases, these forward-looking statements can be identified by words or phrases such as “may”, “might”, “will”, “expect”, “anticipate”, “estimate”, “intend”, “plan”, “indicate”, “seek”, “believe”, “estimates”, “predicts” or “likely”, or the negative of these terms, or other similar expressions intended to identify forward-looking statements. Whether actual results, performance or achievements will conform to the Company’s expectations and predictions is subject to a number of known and unknown risks, uncertainties, assumptions and other factors, including without limitation, those risks and uncertainties discussed elsewhere on the website at www.prosmartinc.com and in the Company’s filings on SEDAR. Investors should not place undue reliance on forward-looking information. The forward-looking information contained herein is made as of the date hereof and is not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.