TORONTO, ON / ACCESSWIRE / February 8, 2017 / Gunpowder Capital Corp. (CSE: GPC) (CSE: GPC.PR.A) (FSE: YS6N) ("Gunpowder" or the
"Corporation") announced today that it has acquired a 12.5% equity interest in JIT Financial Inc. ("JIT"). JIT has been formed to
enter into the Automated Teller Machine ("ATM") Business starting with the acquisition of 550 ATMs in the Greater Toronto Area. JIT
then plans on acquiring other ATM companies in order to expand its footprint.
Gunpowder Capital Corp. has agreed to loan JIT the funds required to purchase the ATM machines and will also provide the cash
required to fill the ATM machines ("vaulting"). In respect to the acquisition loan, Gunpowder will earn interest at a rate of ten
percent ("10%") per annum and will receive a royalty payment of Ten Cents ("$0.10") per ATM transaction in perpetuity. These
payments are in addition to the 12.5% equity stake that was granted to the Corporation. With respect to the vaulting funds being
provided, Gunpowder will earn a fee of Thirty Cents ("$0.30") per ATM transaction.
In addition, Paul Haber will be appointed to the Board of JIT as Chairman to help manage JIT's growth and Gunpowder's
investment.
Both Gunpowder Capital Corp. and JIT Financial Inc. have completed all security and background screening requirements, and the
two Corporations have been cleared to enter into this business space.
Mr. Paul Haber stated: "We are very pleased to have received the security clearances to enter into this business space. The ATM
business model is a proven low risk model that provides a high margin of return, while requiring low overhead to run effectively.
We believe this investment will provide a significant return to our shareholders. We expect that we will be able to acquire other
businesses and significantly grow this business."
For further information please contact:
Mr. Frank Kordy Interim CEO & Director Gunpowder Capital Corp. T: (647) 466-4037 E: frank.kordy@gunpowdercapitalcorp.com
Mr. Paul Haber CFO Gunpowder Capital Corp. T: (416) 363-3833 E: paul.haber@gunpowdercapitalcorp.com
Forward-Looking Statements
Information set forth in this news release may involve forward-looking statements under applicable securities laws. The
forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. The
forward-looking statements included in this document are made as of the date of this document and the Corporation disclaims any
intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events,
or otherwise, except as expressly required by applicable securities legislation. Although Management believes that the expectations
represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be
correct. This news release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described
herein and accordingly undue reliance should not be put on such. Neither CSE nor its Regulation Services Provider (as that term is
defined in the policies of the CSE accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Gunpowder Capital Corp.
