- Universal PropTech Inc. (UPI) announced on Monday (Dec. 5) that it has signed a share purchase agreement with Dexterra Group Inc. (DXT)
- The agreement will enable the sale of all shares of Universal PropTech’s wholly-owned subsidiary, VCI Controls
- Dexterra will pay Universal PropTech an aggregate cash purchase of C$4 million in addition to the cash amount held by VCI upon the transaction’s close
- Shares of Universal PropTech currently sit at $0.07 as of Dec. 2 at 4:00 p.m EST while Dexterra Group’s shares are up 0.94 per cent to $5.36 as of 1:%6 p.m. EST on Monday
Universal Proptech Inc. (UPI) announced on Monday (Dec. 5) that it has entered into a share purchase agreement with Dexterra Group Inc. (DXT).
The agreement will be for the sale of all the issued and outstanding shares of Universal PropTech’s wholly-owned subsidiary, VCI Controls Inc.
Terms of the transaction include Dexterra Group paying Universal PropTeh C$5 million in cash, along with the amount of cash held by VCI once the transaction has closed.
The purchase price, minus indemnity and employee holdback, will amount to $980,000 and will be paid upon the transaction’s closing by Dexterra.
Shareholders will have the opportunity to vote at the meeting on Dec. 19, although the board of directors has unanimously decided that the transaction is in Universal PropTech’s best interests. The board recommends that shareholders vote in favour of the transaction.
In a press release, the company said that the current market conditions for small-cap companies, and the ability to raise capital, are uncertain, which is one of the reasons for the transaction.
As such, the company’s management and board of directors have determined that it was an excellent opportunity to receive a return on its proptech business.
Once the transaction is closed and approved, Universal PropTEch will not have any active business operations, and its assets will include cash and investment in ISBRG Corp.
Shares of Universal PropTech currently sit at $0.07 as of Dec. 2 at 4:00 p.m EST while Dexterra Group’s shares are up 0.94 per cent to $5.36 as of 1:%6 p.m. EST on Monday
