Quattro Exploration and Production Ltd QEXXF

Another Accretive Deal at a Deemed Price of C$2.50 per share

[perdikaoilgas]

https://web.tmxmoney.com/article.php?newsid=80917080&qm_symbol=QXP



The Preferred Shares are priced @ $100 per share, paying an annual preferred dividend of $3.50 per share. The holder will have the right on the anniversary of the 2^nd year of issuance to convert the Preferred Shares into Class A common shares at a ratio of 40 Class A shares for each Preferred Share converted, valuing the Class A common shares at a deemed price $2.50 per share. Closing is subject to final TSX Venture Exchange approval.

Summary of the Acquisition

Market:	Wireless Networks, Monitoring and Secure Data Transmission
Purchase Price:	$3,500,800 of Class C, Series 3 preferred shares priced @ $100 each.
Business:	Wireless Communications, 100% of hardware sales and 25% (net) of licensing revenues.
Employees:	2 employees, plus consultants growing to 12 in 5 years (estimated)
Assets:	Patents, Inventory, Research Laboratories and Office Equipment
Potential**:	Sales of more than $100,000,000 per year by 2020.

**Quattro anticipates annual savings due to the illumination of alternative services through the application and implementation of SRD's "technology" starting in 2016 will result in a savings of approximately $500,000 per year in the next 5 years at current production levels and sheltering the Company from additional costs of $8,000,000 in costs, over the same 5 years based on the Company's exploration and production plans from 2016 – 2020.