Goldmoney Inc. Provides Corporate Update
TORONTO--(BUSINESS WIRE)--Dec 5, 2018--Goldmoney Inc. (TSX:XAU) (“Goldmoney”) (the “Company”), a precious metal financial service and technology company, is pleased to provide this corporate update.
As previously announced on November 14 and November 26, 2018, Goldmoney will distribute to its shareholders on a pro rata basis 3.99 million Class B subordinate voting shares of Menē Inc. (the “Menē Shares”), a TSX Venture listed company (Symbol: MENE). The exact ratio to make this distribution will be 0.051767721 of a Menē Share for each common share of Goldmoney held as of close of business on the record date.
The payable date remains as previously announced as December 7, 2018.
The Company has announced the resignation of Josh Crumb from the Board of Directors with effect from December 4, 2018. “It is with great regret that the board has accepted the resignation of Josh Crumb as a director of the Company, which he has served with me since the inception of BitGold over five years ago,” said Roy Sebag, Chairman. “The board and staff are thankful for the meaningful contributions Josh has made, and we wish him well in his new endeavours.”
The Company draws attention to the high trading volume in the shares of the Company on December 4, 2018 and November 24, 2018, which were accompanied by a decline in the share price. The Company is of the view that there were forced sales on these two days as a result of margin calls. The Company is unaware of any material change in its operations that would account for the recent market activity.
Goldmoney Inc. also announced today revisions to its disclosure concerning Goldmoney Wealth Limited (“GWL”) one of Goldmoney’s wholly-owned Jersey subsidiaries. GWL is incorporated in Jersey and regulated by the Jersey Financial Services Commission (“JFSC”). In the Management Discussion and Analysis disclosure accompanying the release of our first quarter results on August 8, 2018, we reported that there were one-off, non-recurring professional fees of CAN$1.8 million, most of which was incurred with a Jersey-based consulting firm to ensure GWL meets all compliance and regulatory requirements of the JSFC. This disclosure was made because the increase in professional fees relating to GWL (as well relating to Menē) was a material expense item that in part explained our Q1 results. As had been anticipated in our Q1 MD&A, these consulting fees do not continue. The underlying GWL-related compliance matters that were addressed in this consultation process were not material to Goldmoney Inc., as a whole, because no other entities in the Goldmoney group of companies were affected by such issues. This extensive consultation has now been completed. The results of this consultation have allowed Goldmoney to better assess the role of, and importance of, GWL in the Goldmoney family of companies. While GWL remains an important subsidiary, largely as a result of its legacy business following the combination in 2015 of GWL and other Jersey entities within what is today the business of Goldmoney, Goldmoney’s past disclosure relating to GWL in Goldmoney’s Annual Information Form (“AIF”) for the financial year ended March 31, 2018, was not intended to suggest that GWL is material to the operations of Goldmoney, as a whole. Goldmoney will be revising and refiling its AIF to clarify any impressions to the contrary and will be doing so by no later than January 31, 2019.
About Goldmoney Inc.
Goldmoney Inc., a financial service company traded on the Toronto Stock Exchange (TSX:XAU), is a global leader in precious metal investment services and the world’s largest precious metals payment network. Safeguarding nearly $1.6 billion in assets for clients located in more than 150 countries, Goldmoney is focused on a singular mission to make precious metals-backed savings accessible to all. Powered by Goldmoney’s patented technology, the Goldmoney® Holding is an online account that enables clients to invest, earn, or spend gold, silver, platinum, palladium and cryptocurrencies that are securely stored in insured vaults in seven countries. All bullion assets are fully allocated and physically redeemable property. Goldmoney Wealth Limited is regulated by the Jersey Financial Services Commission (JFSC) as a Money Services Business. Goldmoney Network is a reporting entity to the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC), and is registered with the Financial Crimes Enforcement Network (FinCEN) in the U.S. For more information about Goldmoney, visit goldmoney.com.
This news release contains or refers to certain forward-looking information. Forward-looking information can often be identified by forward-looking words such as “anticipate”, “believe”, “expect”, “plan”, “intend”, “estimate”, “may”, “potential” and “will” or similar words suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. All information other than information regarding historical fact, which addresses activities, events or developments that the Goldmoney Inc. (the “Company”) believes, expects or anticipates will or may occur in the future, is forward-looking information. Forward-looking information does not constitute historical fact but reflects the current expectations the Company regarding future results or events based on information that is currently available. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other forward-looking information will not occur. Such forward-looking information in this release speak only as of the date hereof.
Forward-looking information in this release includes, but is not limited to, statements with respect to: service times for transactions on the Goldmoney network; growth of the Company’s business, expected results of operations, and the market for the Company’s products and services and competitive conditions. This forward-looking information is based on reasonable assumptions and estimates of management of the Company at the time it was made, and involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others: the Company’s operating history; history of operating losses; future capital needs and uncertainty of additional financing; fluctuations in the market price of the Company’s common shares; the effect of government regulation and compliance on the Company and the industry; legal and regulatory change and uncertainty; jurisdictional factors associated with international operations; foreign restrictions on the Company’s operations; product development and rapid technological change; dependence on technical infrastructure; protection of intellectual property; use and storage of personal information and compliance with privacy laws; network security risks; risk of system failure or inadequacy; the Company’s ability to manage rapid growth; competition; the ability to identify opportunities for growth internally and through acquisitions and strategic relationships on terms which are economic or at all; effectiveness of the Company’s risk management and internal controls; use of the Company’s services for improper or illegal purposes; uninsured and underinsured losses; theft & risk of physical harm to personnel; precious metal trading risks; and volatility of precious metals prices & public interest in precious metals investment; and those risks set out in the Company’s most recently filed annual information form, available on . Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company undertakes no obligation to update or revise any forward-looking information, except as required by law.
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KEYWORD: NORTH AMERICA CANADA
INDUSTRY KEYWORD: NATURAL RESOURCES MINING/MINERALS PROFESSIONAL SERVICES BANKING FINANCE
SOURCE: Goldmoney Inc.
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PUB: 12/05/2018 07:30 AM/DISC: 12/05/2018 07:30 AM