2016-09-25

VERITEC, INC. SIGNS NON-BINDING LETTER OF INTENT TO PURCHASE BANK | Get News

ga('create', 'UA-47275228-1', 'getnews.info');
ga('send', 'pageview');

-->

-->

Home

Business

Lifestyle

Health & Medicine

Technology

Financial Market

U.S.

World

Home » Business, Personal Finance, Professional Services, Website & Blog » VERITEC, INC. SIGNS NON-BINDING LETTER OF INTENT TO PURCHASE BANK

VERITEC, INC. SIGNS NON-BINDING LETTER OF INTENT TO PURCHASE BANK

Posted by admin on September 24, 2016



MINNEAPOLIS, MN – 24 Sep, 2016 – Veritec, Inc. (the “Veritec”) (OTCPink: VRTC), — today announced that it has entered into a Non-Binding Letter of Intent (“LOI”) to acquire all of Flathead Bancorporation, Inc.’s (“FB”) issued and outstanding shares. FB is the majority owner of First Citizens Bank of Polson, Montana (“Citizens Bank”).

Van Tran, Chief Executive Officer of Veritec, stated, “Veritec and its subsidiaries offer a complete line of secure verification and financial products including prepaid debit cards, mobile banking applications and secure payment systems. In the past, our ability to continually provide our products and services has been dependent on our finding and retaining a sponsoring bank, which has been difficult. With this acquisition, we remove that dependency and control our ability to continually provide our products to our customers without disruption. We also believe our vertical acquisition of FB will make our cutting edge mobile banking and payment products the most efficient and cost effective in the industry. Veritec anticipates that it will license its proprietary blinxpay App and blinx On-Off Visa Prepaid Debit Card technology and secure payment systems to Citizens Bank.”

Under the proposed terms of the LOI, Veritec would acquire 9.9 percent of FB’s issued and outstanding shares for $320,000 at the closing date.      Veritec intends to purchase the remaining

90.1  percent  of  FB’s  outstanding common  shares  within  three  years  of  the  closing date for

$2,880,000. The total purchase price for FB’s outstanding common shares (including the 9.9 percent discussed above) would be $3,200,000.

Veritec would also provide loans to FB to be used for capital purposes of $280,000 at the closing date, $500,000 on or before January 31, 2017 and $400,000 on or before April 1, 2017, for a total of $1,180,000. The loans would mature in five years, require annual interest only payments at interest rates to be determined and be secured by 38% of FB outstanding common stock.

Citizens Bank president, Rick Skates, will continue to oversee the Bank’s operations and will be responsible for the integration of Veritec’s proprietary technology into its operations.

In order for the Company to successfully complete the purchase of FB, amongst other items, the Company is currently seeking regulatory approval from applicable banking authorities and plans to raise funds from investors by issuing its common shares, debt, or both.

About Veritec, Inc.

Since 1982, Veritec, Inc. has been dedicated to providing businesses with secure technological solutions. Over the last 34 years, Veritec has grown to include two subsidiaries, Veritec  Financial Systems, Inc. and Tangible Payments.  Veritec and its subsidiaries offer a complete  line of secure verification and financial products including prepaid debit cards, mobile banking applications     and     secure     payment     systems.

For     more     information,     please     visit (www.veritecinc.com, www.vtfs.com; www.blinxprepaid.com; www.blinxpay.com)

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

This news release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon our current expectations and speak only as of the date hereof. Our actual results may differ materially and adversely from those expressed in any forward-looking statements as a result of various factors and uncertainties affecting technology companies, our ability to successfully develop products, rapid technological change in our markets, changes in demand for our future products, legislative, regulatory and competitive developments and general economic conditions. Our SEC filings discuss some of the important risk factors that may affect our business, results of operations and financial condition. We undertake no obligation to revise or update publicly any forward- looking statements for any reason unless otherwise required to do so by SEC  Regulations.

Full News Story: http://pressreleasejet.com/news/veritec-inc-signs-non-binding-letter-of-intent-to-purchase-bank.html

Distributed by Press Release Jet

Media Contact
Company Name: VERITEC INC.
Contact Person: VAN TRAN
Email: VTRAN@VERITECINC.COM
Phone: 612-991-7928
Country: United States
Website: www.veritecinc.com



Comments are closed.

Buzz

Twitter

Facebook

RSS

Email

Advertisement

Search

Search for:

Recent Posts

VERITEC, INC. SIGNS NON-BINDING LETTER OF INTENT TO PURCHASE BANK

NEXBOX’s New TV Box Model Android 6.0 A5 Streaming Media Player Is on Hot Sale at Amazon.com

Global Neem Extract Market worth USD 1,882.9 Million by 2021: By Application, Size, Share and Development – Zion Market Research

Super Mini and Smart: Rockchip RK3229 CPU DOLAMEE D5 Android 5.1 OS Unveiled

Perth Mortgage Broker Highlights the Importance of Understanding the Comparison Rate

2016 MLB Playoff Tickets: CapitalCityTickets.com is Slashing Their Prices on 2016 MLB Playoff Tickets for All Teams with Promo Code

South Shore Roofing Makes the Best Solar Roof Installations in Georgia More Accessible to all

Substation Automation Market to Reach $185.80 Billion, Globally, by 2024 – Hexa Reports

Green And Bio-Based Solvents Market is Expected to Reach $13.74 Billion, Globally, by 2024 – Hexa Reports

Share Lawyers Win Long-Term Disability Settlement

Categories

Agriculture & Farming

Arts & Entertainment

Australia

Automotive

Books & Literature

Building & Construction

Business

Celebrity

Commodity Market

Computers & Software

Education

Electronics & Semiconductors

Employment

Energy & Environment

Europe

Family & Parenting

Fashion & Beauty

Financial Market

Fitness

Food & Beverage

Gaming

Government & Politics

Health & Medicine

Home & Garden

Hospitality

Human Resources

India

Law & Legal

Leisure Activities

Lifestyle

Living

Manufacturing & Industry

Marketing & Sales

Media & Communications

News & Current Affairs

Non Profit

Personal Finance

Pharmaceuticals & Biotech

Professional Services

Public Affairs

Real Estate

Retail

Science

Services

Shopping & Deal

Society & Culture

Sports

Stock Market News

Technology

Telecom

Transportation & Logistics

Travel

U.K.

U.S.

UK

Website & Blog

World

Home

Djfeed

Copyright © 2016 Get News. All rights reserved.

Show more