- Signed a non-binding term sheet to acquire the full global rights and revenue to the My Hospital game
- Purchase price of 2.6 million Euros would be paid in monthly installments between May 2019 and June 2021. Â
- Additionally, after Kuuhubb has recouped the entire purchase price, Cherrypick Games would be entitled to 25% net profit share
TORONTO, Feb. 28, 2018 – Kuuhubb Inc. (“Kuuhubb†or the “Companyâ€) (TSX-V:KUU) announces that it has signed a non-binding term sheet to acquire the full global rights and revenue to the My Hospital game.
“We are very satisfied with the growth of My Hospital during the past months.  To maximize the overall profitability for Kuuhubb, we are in discussions to expand our cooperation with Cherrypick Games on My Hospital.  The proposed deal structure is expected to provide Kuuhubb with cash flow and profitability as well as create long-term value through our expanding product portfolio globally,†commented Jouni Keränen, CEO of Kuuhubb.
Based on the terms of the non-binding term sheet, the current distribution agreement, which ends June 2019, would be changed to a purchase agreement for My Hospital full global rights. Â The purchase price of 2.6 million Euros would be paid in monthly installments between May 2019 and June 2021. Â Additionally, after Kuuhubb has recouped the entire purchase price, Cherrypick Games would be entitled to 25% net profit share. Â Cherrypick Games would continue the current game development and update efforts until June 2021.
The proposed My Hospital acquisition is subject to the execution of the definitive documentation in respect of such acquisition and receipt of any required TSX Venture Exchange acceptance.
About Kuuhubb
Kuuhubb is a company active in the digital space that focuses mainly on lifestyle and mobile video game applications. Its strategy is to create sustainable shareholder value through acquisitions of proven, yet underappreciated, assets with robust long-term growth potential. Headquartered in Helsinki, Finland, the Company has a global presence with a strong focus on developing U.S. brand collaborations and Asian partnerships.
Cautionary Note Concerning Forward-Looking Information
This press release contains forward-looking information. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements relating to the completion of the proposed My Hospital acquisition, the development and growth plans for My Hospital, future cash flow and profitability, growth of the Company’s business and expected benefits from the proposed My Hospital acquisition) are forward-looking information. This forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking information is subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things, failure to execute the definitive documentation in respect of, or complete, the proposed My Hospital acquisition, risks related to the growth strategy of the Company, the possibility that results from the proposed My Hospital acquisition will not be consistent with the Company’s expectations, the early stage of the Company’s development, competition from companies in a number of industries, the ability of the Company to manage expansion, future business development of the Company and the other risks disclosed under the heading “Risk Factors” in the Company’s annual information form dated October 30, 2017 filed on SEDAR at www.sedar.com. Forward-looking information speaks only as of the date on which it is provided and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein. Â
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information, please contact:
Kuuhubb Inc.
Jouni Keränen – CEO
[email protected]
Office: +358 40 590 0919
Bill Mitoulas
Investor Relations
[email protected]
Office:Â +1 (416) 479-9547
