Zaio, Valuation Vision and Axis Continue Strong Performance
CALGARY, Aug. 28, 2014 /CNW/ - Zaio Corporation (TSX-V:ZAO), ("Zaio" or "the Company"), today announced that Zaio, Valuation Vision, LLC ("Valuation Vision") and Axis Appraisal Management Solutions ("Axis") collectively had another month of solid performance on a pro forma basis. The companies collectively processed Broker Price Opinions, GEAR Appraisal reports, and traditional appraisals across United States, generating approximately $3.0 million in revenue during the month of July on a pro forma basis (assuming completion of the acquisitions of Valuation Vision and Axis).
"We continue to see strong performance across our broad product lines offered by Zaio, Valuation Vision and Axis. Our sales team continues to introduce our expansive product offerings to all of our clients, and we continue to also win new business on a regular basis," said David King, President and CEO of Zaio Corporation. "Zaio also signed the definitive transaction agreement with 97% of Axis shareholders last month, and I am delighted to announce that we now have Axis shareholders holding 100% of the issued share capital of Axis approving the acquisition."
With respect to the Company's previously announced brokered private placement financing, the Company and its agents continue to work with prospective institutional investors on completing the requisite due diligence. The Company recently completed a non-brokered private placement of a bridge loan in the amount of $285,000, with officers and directors of the Company contributing $110,000. The proceeds of the bridge loan will be used for working capital and general corporate purposes. The private placement of the bridge loan remains subject to the approval of the TSX Venture Exchange.
Zaio also announces that it has filed its 2014 Second Quarter Financial Statements and MD&A, which documents are available under the Company's profile on SEDAR at www.sedar.com.
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.
About Zaio Corporation
Zaio provides customers in the property valuation, underwriting and lending industries with real-time access to certified appraisal reports from the company's patented database of proactively maintained residential property valuations prepared by licensed appraisers across the United States. Visit the company online at zaio.com.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities of the Company will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") and may not be offered or sold within the United States or to, or for the account or benefit of U.S. persons except in certain transactions exempt from the registration requirements of the U.S. Securities Act.
Certain information in this press release is forward-looking within the meaning of Canadian securities laws as it relates to anticipated events and strategies. When used in this context, words such as will, anticipate, believe, plan, mandated, intend, target, and expect or similar words suggest future outcomes.
Forward-looking information in this press release, includes, among other things, information relating to: (i) projected revenues resulting from the acquisition of Valuation Vision and Axis; (ii) the closing of the Valuation Vision transaction; (iii) the closing of the Axis transaction; and (iii) the timing and completion of the proposed brokered private placement financing.
These statements are based on certain assumptions and analyses made by the Company in light of its experience, current conditions and expected future developments and other factors it believes are appropriate. The material factors and assumptions used to develop these forward-looking statements include, but are not limited to: (i) the accuracy of the revenues reported by Valuation Vision and Axis; (ii) the ability of the Company to realize such revenues in the event the Valuation Vision and Axis transactions are closed and the ability of Zaio to effectively integrate the combined entities; (iii) the ability of the Company to close of the Valuation Vision transaction; (iv) the ability of the Company to close the Axis transaction; and (v) the ability of the Company to close the proposed brokered private placement financing.
The Company believes that the expectations reflected in this news release are reasonable but actual results may be affected by a variety of variables and may be materially different from the results or events predicted in the forward-looking statements. Readers are therefore cautioned not to place undue reliance on such forward-looking information. In evaluating forward-looking information readers should consider the risk factors which could cause actual results or events to differ materially from those indicated by such forward-looking statements, including risks that: (i) the transaction with Axis does not close; (ii) the audit of Valuation Vision is not completed and the transaction does not close; (iii) the revenues of Valuation Vision and Axis are accurate and will be realized by the Company in the event the acquisition transactions close; (iv) that the brokered private placement financing will not be completed, or if it is, that the Company will not be sufficiently capitalized to close the Valuation Vision and Axis acquisitions or conduct operations of the combined entities; and (v) or that regulatory approval for the respective transactions is not obtained. If any such risks actually occur, they could materially adversely affect the Company's business, financial condition or results of operations. In that case the trading price of the Company's common shares could decline, perhaps materially.
Readers are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Forward-looking statements are provided for the purpose of providing information about management's current expectations, and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes. Zaio does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in Zaio's expectations or any change in events, conditions or circumstances on which any such statement is based, except as required by law.
SOURCE: Zaio Corporation
For further information: visit zaio.com or contact: David King, President & CEO, Zaio Corporation, 403-984-ZAIO, [email protected]; Babak Pedram, Investor Relations, Virtus Advisory Group Inc., 416-995-8651, [email protected]