SAINT-HUBERT, Quebec, Feb. 05, 2024 (GLOBE NEWSWIRE) -- Urbanimmersive Inc. ("Urbanimmersive," "the Company," or "UI") (TSX VENTURE: UI) (OTCQB: UBMRF), a leading provider of 3D digital twin solutions for the real estate marketing industry, has received a general Cease Trade Order ('CTO') issued by the Canadian Securities Administrators (Autorité des Marchés Financiers ('AMF') being the principal regulator) in accordance with National Policy 12-203 - Management Cease Trade Orders (NP 12-203) and the Canadian Investment Regulatory Organization ('CIRO') has halted the Company' stock.
The CTO was issued due the missed filing deadline of January 28, 2024 to file its annual audited financial statements, accompanying management's discussion and analysis and related Chief Executive Officer and Chief Financial Officer certificates for its fiscal year ended September 30, 2023, as required under applicable Canadian securities laws. The delay in filing was caused by the Company's former auditors not renewing their mandate and the ongoing process of finding a new auditor in a short time frame in the busy season at a reasonable cost.
The Company will continue to operate in the normal course of business, fulfilling its commercial contracts and obligations and intends to immediately apply for a revocation of CTO as soon as its annual filings are duly filed.
Funding initiatives
In the last year, while completing the integration process of its recent acquisitions, the Company has significantly streamlined its operations which includes a reduction of its workforce representing annual savings of nearly $2.0 million. Even with a decline in its revenues impacted by the challenging real estate market conditions in 2023, the Company believes it should be able to generate positive free cash flows over the next 12 months. However, as a result of its low liquidities ending the low season and less secured fundings than planned in the last year, Urbanimmersive has continued to work actively on securing a small equity financing in the recent weeks that would be used for working capital purposes and its growth initiatives and will continue to pursue those initiatives. As there is no guarantee of the outcome so far, the Company has decided to explore other alternatives to generate liquidities in the short term which may include divestiture of certain assets. That said, the Company has not made any decisions at this time, and there is no guarantee that it will result in any specific favourable outcome.
TSX Venture Exchange has not reviewed this press release and has neither approved nor disapproved the contents of this press release.
About Urbanimmersive
Urbanimmersive develops and commercializes real estate photography technologies and services focused on redefining industry visual content standards. The Company all-in-one platform enables high-volume photography businesses to increase operational productivity delivering feature-rich 3D tours and floor plans, leading-edge property websites and high-resolution AI-indexed images. The Company operating segments include software (SaaS), 3D photography equipment and, in a growing number of North American cities, technology-powered real estate photography service business units leading the industry photo-shoots standards transformation. Learn more at urbanimmersive.com.
Caution of Forward-Looking Statements
Certain statements in this news release, other than statements of historical fact, are forward-looking information that involves various risks and uncertainties. Such statements relating to, among other things, the prospects for the company to enhance operating results, are necessarily subject to risks and uncertainties, some of which are significant in scope and nature. These uncertainties may cause actual results to differ from information contained herein. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. These and all subsequent written and oral forward-looking statements are based on the estimates and opinions of the management on the dates they are made and expressly qualified in their entirety by this notice. The Company assumes no obligation to update forward-looking statements should circumstances or management estimates or opinions change.
For more information, please contact:
Simon Bédard, CA, CPA, CFA, MBA
Interim Chief Executive Officer and Chief Financial Officer
514 394-7820 X 224
simonbedard@urbanimmersive.com
