VANCOUVER, British Columbia, May 13, 2019 (GLOBE NEWSWIRE) -- RSI International Systems Inc. (TSX-V: RSY) (“RSI” or the “Company”) is pleased to provide a corporate update following the sale of its RoomKeyPMS business, as announced February 13, 2019.
Corporate Development Update
RSI President and CEO, Adam Ho commented, “Since selling our principal asset in February 2019, we have reduced our expenses to a minimum and have placed most of our net cash proceeds in interest bearing securities. We expect that the interest being generated will largely cover our general expenses, while we search for a new business to vend into the Company.”
Mr. Ho added “Although we are exploring many different investment opportunities, most of the candidates we have seen to date are quite expensive in our view. We are not interested in paying what we consider a high price, just to get a transaction done, and will remain patient in our search for a suitable opportunity”.
RSI has approximately $5 million available to invest by way of reverse takeover or other format. With funds already in hand and a supportive major shareholder holding over 44% of RSI’s outstanding shares, the Company believes that it offers an attractive opportunity to companies seeking investment, given the reduction of financing and other transaction risks. RSI encourages all cash flowing businesses seeking a public listing or investment into their company, to contact management to discuss a potential transaction.
NEX Listing
The Company also reports that it has received notice from the TSX-V that trading of its shares will be transitioned to the NEX, a separate board of the TSX-V. Mr. Ho further commented “The exchange and regulatory processes we had expected to go through under a reverse takeover-type transaction are similar in ways to the re-activation process to move from the NEX to the TSX-V. Accordingly, the Company does not view the change of trading platform to have a significant impact on our path going forward”.
The NEX provides a trading forum for listed companies that no longer meet TSX-V ongoing listing standards. NEX companies are subject to the same disclosure standards as all Canadian public companies and must maintain good standing with all relevant Canadian securities commissions. Surveillance standards of NEX companies are overseen by the same independent service that monitors TSX Venture Exchange and Toronto Stock Exchange companies. Companies moving from the TSX-V to the NEX generally keep their original stock symbol and have “.H” added. In the case of RSI’s trading symbol, it is expected that the new symbol will be “RSY.H”.
Neither the TSX-V nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this release.
About RSI
RSI International Systems Inc. has recently sold its only business asset, RoomKeyPMS. The Company is now seeking to use the net sale proceeds to invest in a new business.
Cautionary Note Regarding Forward Looking Statements
This news release contains forward-looking statements. Any statements that are not strictly historical fact are considered "forward-looking statements." Forward-looking statements cannot be guaranteed and involve assumptions and are subject to a variety of risks and uncertainties which could cause actual events or results to materially differ from those reflected in the forward-looking statements. Readers are advised to rely on their own evaluation of such risks and uncertainties and not place undue reliance upon forward-looking statements. Any forward-looking statements made herein are made as of the date hereof, and the Company assumes no obligation and disclaims any intention to revise or update any forward-looking information and statements except as required by applicable laws.
For more information, please contact:
RSI International Systems Inc.
Adam Ho, President, CEO & Director
(604) 329-1009
