Business
PesoRama Inc. and Skyscape Capital Inc. Enter into Letter of Intent for Qualifying Transaction
Toronto, Ontario--(Newsfile Corp. - December 11, 2020) - Skyscape Capital Inc. (TSXV: SKY.P...
About this update from Skycap Investment Holdings Inc.
[{"type":"text","content":"PesoRama Inc. and Skyscape Capital Inc. Enter into Letter of Intent for Qualifying TransactionToronto, Ontario--(Newsfile Corp. - December 11, 2020) - Skyscape Capital Inc. (TSXV: SKY.P) (\"Skyscape\" or the \"Corporation\"), a capital pool company as defined under TSX Venture Exchange (\"TSXV\" or the \"Exchange\") Policy 2.4 - Capital Pool Companies (\"Policy 2.4\"), is pleased to announce it has entered into a letter of intent dated December 10, 2020 (the \"LOI\") with PesoRama Inc. (\"PesoRama\"), a private company incorporated under the Canada Business Corporations Act, whereby Skyscape and PesoRama will complete an arrangement, amalgamation, share exchange, or similar transaction to ultimately form the resulting issuer (the \"Resulting Issuer\") that will continue on the business of PesoRama (the \"Transaction\"), subject to the terms and conditions outlined below. Skyscape intends that the Transaction will constitute its Qualifying Transaction, as such term is defined in the policies of the Exchange. Following completion of the Transaction, the Resulting Issuer intends to list as a Tier 1 or 2 Industrial Issuer on the Exchange. Skyscape and PesoRama previously signed an amalgamation agreement in 2019 which subsequently expired but the companies continued negotiations. During that time, Skyscape secured a proposal from Fundamental Private Markets (\"Fundamental\") of Mexico City to provide financing in connection with the Transaction culminating in the signing of the LOI.PesoRama is a Mexican value single price point dollar store retailer. PesoRama launched operations in 2019 in Mexico City and the surrounding areas targeting high density, high traffic locations. PesoRama's stores offer consistent merchandise offerings which include items in the following categories: household wares, kitchenware, home cleaning products, home décor products, seasonal products, stationary, toys and games, arts and crafts materials, electronics, souvenirs, novelties, jewelry, clothing, footwear, headwear, costumes, personal care products, health and beauty, cosmetics, food, beverages, snacks, confectionary, pet food and pet accessories, hardware, garden tools and other general merchandise. To date, PesoRama has opened 11 stores and has signed leases for several more.Fundamental is an investment company, incorporated under the laws of Mex...