NCR - Clip Money Inc. Closes Strategic Investment led by Cardtronics Inc. (a wholly owned subsidiary of NCR Corporation) | Benzinga
TORONTO, Sept. 22, 2023 (GLOBE NEWSWIRE) -- Clip Money Inc. (TSXV:CLIP) (OTCQB:CLPMF) ("Clip Money" or the "Company"), a company that operates a multi-bank self-service deposit system for businesses, is pleased to announce the closing of a non-brokered private placement of 28,596,826 common shares in the capital of the Company (the "Common Shares ") at a price of CDN$0.23 per Common Share (the "Equity Price") for gross proceeds of approximately US$4,900,000 (the "Equity Financing"). Separately, Clip is also pleased to announce the closing of a non-brokered private placement of secured convertible notes (each a "Convertible Note") of the Company for gross proceeds in the principal amount of US$6,132,271 (inclusive of US$1,032,271 subscribed for by an existing arm's length investor (the "Secondary Investor"), as described further below) (the "Convertible Notes Financing", together with the Equity Financing, the "Financings"). Cardtronics, Inc. ("Cardtronics"), a wholly-owned subsidiary of NCR Corporation (NYSE:NCR), subscribed for the entire Equity Financing and US$5,100,000 of the Convertible Note Financing, for a combined US$10,000,000 investment in the Company.
Alongside the Financings, the Company and NCR have established a long-term, firmware exclusive, commercial collaboration that will combine Clip Money's pioneering business cash deposit solution with NCR's cardless cash deposit API and cash in network.
Clip Money is the only multi-bank cash deposit network in North America focused on businesses and driven by APIs, enabling any business to make cash deposits into their bank account of choice through Clip Money's network without integration at the bank itself. NCR will enable Clip Money deposit services at its premier cash in network with more than 2,500 operating sites across 30 states serving more than 70 of the largest population centers across the United States, complementing the current ClipDrop network of nearly approximately 400 locations. The expanded network will provide a large portion of U.S. business convenient access to Clip Money's services allowing businesses to manage cash more efficiently regardless of the branch presence of their bank or credit union of choice.
"This partnership with NCR seamlessly complements Clip Money's existing deposit network, which is primarily situated within shopping malls and prominent big box retailers. NCR's global market presence will provide Clip Money with an immediate growth platform within North America, as well as the potential to explore international market opportunities that require business deposit transformation."
Joseph Arrage, Chief Executive Officer
Each Convertible Note issued under the Convertible Notes Financing will be due and payable on ...