Investors Getton ONSide with MIT.v
Deals Done at Higher Prices ....COntracts Starting to Roll in...No Telling what the Next Contract will yield
After watching SCG Soar ....1500% in the last few Months ....MIT is a Steal @ these Levels. Not expecting the shares to sit here at these level much longer. Tight Public Float Dictates that it will run higher with ease once awareness sets in...ir the Speculators Figure it out how undervalued this Company is in regards to its Growth Prospects
On March 9, 2011, the Company has announced it agreed to settle a promissory note for USD$1.5 million which is outstanding from the purchase of 60% of Mint Middle East (MME) in September 2009.
Mint has agreed to issue 10,714,285 common shares at C
.14 eachin satisfaction of this debt. The shares will be subject to an agreed trading restriction which prevents the holder from selling the shares until January 8, 2012.
The
Corporation also announced on March 9, 2011 the purchase of Mr. Bader’s 25% interest in Mint Middle East LLC. Following completion of the transactions described in these two press releases, Mr. Bader will own, directly or through his company, 30,714,286 common shares and 20,000,000 warrants, representing approximately 26.19% of the outstanding shares of Mint on a non-diluted basis and 36.95% on a partially diluted basis. The issuance of the shares, together with the issuance of shares and warrants to Mr. Bader described in the separate press release, will constitute a Change of Control for purposes of the TSX Venture Exchange. The issuances will also be related party transactions for the purposes of National Instrument 61-101.
Mint intends to call a special meeting of shareholders on June 15, 2011 to obtain minority approval as required under National Instrument 61-101 and the policies of the TSX Venture Exchange. The issuance of the shares is expected to take place shortly after shareholder
On March 24th, 2011, the Company announced that it entered into a Term Sheet for the investment of $3 million by TerraNova Partners LP II as Lead Investor under a proposed $6 million private placement of units at
.125 each. Each unit is to consist of one common share and one common share purchase warrant. Each common share purchase warrant is to be exercisable for one common share for
.15 within 24 months following closing. Proceeds from the private placement will be used to purchase the minority interest in Mint Middle East LLC (announced on March 9, 2011), for the possible acquisition of a prepaid card portfolio in the Middle East and for growth and working capital including expansion of the Company’s business to Qatar and the Kingdom of Jordan.
The TerraNova investment is conditional upon (a) the raising of an additional $3 million to complete the$6 million private placement, (b) completion of the re-organization of Mint Middle East LLC as disclosed intwo press releases on March 9, 2011, (c) completion of a satisfactory due diligence review, (d) a reconstitution of the Mint board of directors to be composed of 3 current directors, 2 directors designated by TerraNova and 2 independent directors proposed by TerraNova and agreed to by Mint management, and (e) the receipt of all required shareholder and regulatory approvals..TerraNova and Mint will also enter into an Advisory Services Agreement where TerraNova and its principals will provide financial and operational advice and assistance to Mint. The private placement is expected to be completed no later than May 13, 2011, the date currently
On April 5
th, the Corporation announced that the Corporation’s Middle East business unit, Mint Middle East LLC, signed a Letter of Intent with a prominent
localbusiness group to establish Mint Qatar WLL. Mint plans to launch its payroll and prepaid card service in Qatar to predominantly large construction and engineering groups and their contractors by mid-2011, thereby leveraging the Company’s existing UAE client base with projects already underway in Qatar. This will provide Mint with a platform to access the enormous infrastructure spend over the next few years in Qatar which will require a significant increase in foreign labor and as such card based payroll services of the kind Mint successfully manages elsewhere in the Middle East.
Despite the global financial crisis, Qatar has prospered in the last several years. In 2010, Qatar had the world's highest GDP growth rate of 19.4%. Its population is currently approximately 1.3 million but is estimated to grow to in excess of 6 million over the next 10 years. Government capital expenditure continues to rise in Qatar with outstanding projects in the country currently totaling US$209bn, UK-based Oriel Securities has said in a recent report. Of this, about 40% is planned for infrastructure according to Zawya Dow Jones estimates. In 2010, Qatar won its bid to host the 2022 FIFA World Cup, which is helping to spur increased infrastructure spending and a corresponding increase of foreign workers.
The breakeven number of cards available in Qatar to pay for the establishment and all costs outlined above is >30,000 and Mint believes that due to a number of its UAE clients having operations in Qatar, this lower breakeven number by comparison to Jordan is quite achievable.
On April 20
th, 2011, the Corporation established Mint Middle East Ltd - Jordan which is owned 51% by Mint Middle East LLC and 49% by Sadad LLC pertaining to the business in Jordan including the contribution in the same percentage of statutory capital to the Joint Venture and the distribution of all profits.
On April 21st, the Corporation announced the signing of a major new customer contract with Al Ahalia Money Exchange Bureau (“Al Ahalia”) for the outsourcing of their payroll business to Mint Middle East LLC. This signing represents the largest volume contract to be executed by Mint Middle East LLC to date. The scope of the services to be provided under the contract includes: (a) the outsourcing of Al Ahalia’s payroll business to Mint Middle East LLC, to be deployed over a 5 month period commencing immediately, representing between 55,000 and 65,000 cards, and (b) the provision of remittance services to Mint’s customers through Al Ahalia. Al Ahalia, established in 1996, is one of the leading exchange houses in the Middle East, primarily focusing on money transfers and money exchange.
Once fully deployed, this contract, together with other new agreements signed by Mint this quarter, will bring the number of active cards on Mint’s platform to over 275,000.