TSX Venture Exchange: FGD
Frankfurt Stock Exchange: 1G5
OTCQB: FGBDF
TORONTO, Sept. 27, 2018 /CNW/ - First Global Data Limited (the "Company") would like to provide a corporate update on various matters.
Cease Trade Order and the Resumption of Trading of its Securities:
The Company was issued a cease trade order by the Ontario Securities Commission ("OSC") as a result of its failure to meet the deadline for filing its year-end 2017 and Q1-2018 financial statements, as prescribed by National Instrument 52-109, by May 4, 2018. In order to have the Cease Trade Order lifted, the Company needs to receive a full revocation of the Cease Trade Order by the OSC pursuant to Part 4 of National Policy 12-202 and under section 144 of the Securities Act (Ontario). To this end, the Company intends to continue working with the OSC to complete such process in a timely manner. As was previously disclosed on August 30, 2018, the Company filed its Q1 and Q2-2018 financial statements which brought the Company current with respect to financial statements publication, however restatements and clarifications may be required by the OSC as part of the application process by which the Company seeks to have the Cease Trade Order lifted.
Upon acceptance by the OSC of the application for a full revocation of the Cease Trade Order, the Company will file a request with the TSX Venture Exchange (the "Exchange") to have trading resume.
Appointment of new CFO:
The Company continues to seek a suitable candidate for its CFO position, the scope of which, at First Global, are wide and deep. As a publicly-listed TSX-V company, the CFO should have the relevant experience ensuring that internal controls and policies comply with all applicable regulatory guidelines. As a company with money-transmitter licenses in the USA, Canada and elsewhere, the CFO is also responsible for interacting with and ensuring that reporting to money-transmitter regulators is accurate and timely. First Global intends to tighten its internal controls—particularly in line with its growth as its number of money-transmitter licenses—and thus its CFO will be a key member of the senior executive team in ensuring that said internal controls are not only improved, but are complied with.
As a result of the above, the Company has been taking the time necessary to interview various candidates but has been active in doing so. As such, the Company is confident that it will be in a position to have a final candidate selected in the short-to-intermediate term.
Appointment of Auditor:
The Company also is actively seeking its next auditor, who will be taking over in light of the resignation of the Company's previous one (per the Company's press release of September 7, 2018). The Company has interviewed a number of different auditors and hopes to have an engagement with an auditor in the short-to-intermediate term.
Happy Transfer Service:
As has been previously announced, the Company is actively working to find a replacement partner for the Happy Transfer cross border payment service. This service enables US customers to send funds to China using the WeChat social messaging platform by electronically debiting funds from their US bank account and crediting the equivalent funds to a beneficiary bank account in China, all in full compliance with US regulatory guidelines and the regulatory guidelines of China. The Company is evaluating three organizations that have expressed interest, though it is taking the time necessary to ensure that any prospective partner meets the guidelines of US regulators.