Business
Cuentas Acquires Exclusive Platform Technology License from CIMA Group for $9M
Cuentas Acquires Exclusive Platform Technology License from CIMA Group for $9M.
About this update from Cuentas Inc.
[{"type":"text","content":"Company Continues to Pursue NASDAQ Uplisting StrategyMIAMI, FL / ACCESSWIRE / January 7, 2020 / Cuentas, Inc. (OTCQB: CUEN) On December 31, 2019, Cuentas Inc. ("Cuentas"), a leading FinTech provider of mobile banking and payment solutions serving Latino and Hispanic consumers, entered into an exclusive Platform License agreement and other series of agreements to acquire an exclusive Platform License from the CIMA Group ("CIMA") in consideration of $9M. The licensed platforms with their cutting hedge technology will become the advanced back-end FinTech platform of Cuentas' unique prepaid debit card and mobile wallet, one the market has never seen before.Cuentas executed the exclusive Platform license for the advanced FinTech technologies with wholly-owned subsidiaries of CIMA, Knetik, Inc. and Auris, LLCAs part of the series of transactions and in exchange for the exclusive license, Cuentas issued CIMA a convertible promissory note for a principal amount of $9,000,000, which note was fully converted on Dec 31, 2019 in exchange for CIMA receiving 25% of the outstanding common stock of CUEN on a fully diluted basis. Cuentas also issued warrants to CIMA and Dinar, whereas each warrant provides the warrantee an option to own twenty-five percent (25%) of shares of Common Stock or any other equity issued upon the conversion of the Series B preferred stock on a fully diluted basis. The warrant that Cuentas issued to Dinar requires that Dinar will complete the $2.5 Million funding. CIMA was represented by Holland & Knight LLP and Cuentas was represented by Ellenoff Grossman & Schole LLP.Adiv Baruch and Richard Berman will remain as directors of Cuentas and Mr. Yochanon Bruk was appointed as the Board designee of Dinar and his appointment was approved by the Board."We have been working for over a year to acquire this technology platforms which should enable Cuentas to provide many capabilities and features which have never been offered together to the general public," said Arik Maimon, Founder and Chief Executive Officer of Cuentas. "With the Cuentas Prepaid Debit card, many more consumers will be able to use a unique set of digital products and services for their day to day financial needs. We plan to lunch the Cuentas' unique prepaid debit card, financial mobile up and electronic wallet...