Off we go into the wild blue yonder! A change of business! 2022-06-06 12:42 ET - News Release
Mr. Jay Vieira reports
SENSOR PROVIDES CORPORATE UPDATE
Sensor Technologies Corp. has released a corporate update.
Licensing of Seismic Data
Sensor and one of its joint venture partners, Oxy USA Inc., have entered into a non-exclusive seismic data use license agreement with Twin Bridges Resources LLC for 14.58 square miles out of 120 square miles of proprietary 3-D seismic data. Subject to the terms and conditions of the License Agreement, Sensor granted to Twin Bridges a non-exclusive, non-transferable, paid-up license to use Sensor's seismic data for a term of 25 years. In return, Twin Bridges agreed to pay a gross sum of US $116,640.
The Company owns 67.5% of the seismic data being licensed while Oxy owns 32.5%. The Company had engaged American Geophysical Corporation to actively market the proprietary 3D seismic data in Pondera and Teton Counties in Northwestern Montana.
The goal of the Company is to license its 3D seismic data, leading to future opportunities for potential joint ventures, partnerships or farm in agreements.
Proposed Change of Business
Further to its press releases of December 7 and 16, 2021, Sensor would like to provide an update its proposed transactions with each of Robotic StemCell BioTech Ltd. ("Robotic") and Blockchain Assets Management Group Limited ("BAM"), both of which are arm's length parties.
Sensor is completing its corporate and financial due diligence of each of Robotic an BAM. Sensor and each of Robotic an BAM are negotiating the terms of a definitive share purchase agreement. Sensor will update once the agreements have been executed by the respective parties.
The proposed acquisitions are subject to Sensor obtaining shareholder and regulatory approval to change its current business from an industrial issuer to an investment issuer (the "Proposed COB"). The Proposed COB is considered a fundamental change / change of business under Policy 8 of the Canadian Securities Exchange ("CSE") and, as such, will subject to all of the requirements of Policy 8 including, but not limited to, CSE and shareholder approval. The proposed BAM and Robotic transactions, as described in Sensor's press release of December 7, 2021, are not considered to be a fundamental change under CSE Policy 8.
After a thorough evaluation of Sensor's existing resources and a review of strategic options for the corporation generally, Sensor's board of directors and management determined to refocus its business operations from an "industrial issuer" to an "investment issuer". The Board believes that its network of business contacts, the depth of experience of its management team and its overall entrepreneurial approach will enable it to identify and capitalize upon investment opportunities as an "investment issuer". There closing of the proposed Robotic and BAM transactions will be the first investments of Sensor as an investment issuer.
If shareholder and regulatory approval is obtained, the Proposed COB, Sensor's primary focus will be to seek returns through investments in the securities of other companies. Sensor will continue to review opportunities to extract residual value from its existing assets, provided Sensor may abandon some or all of such assets if it determines appropriate.
If shareholder and regulatory approval is obtained, Sensor will operate as a diversified investment and merchant banking firm focused on public companies and commodities. Sensor's proposed investment activities will include (i) public companies, (ii) near public companies and private capital, (iii) global venture capital initiatives and (iv) strategic physical commodities. However, Sensor may take advantage of special situations and merchant banking opportunities, as such opportunities arise, and make investments in other sectors which the Corporation identifies from time to time as offering particular value.
The investment objective of Sensor will be to provide investors with long-term capital growth by investing in a portfolio of undervalued companies.