Tribe Property Technologies Inc said it had agreed to acquire Southview Property Management Inc, an independent party, strengthening Tribe’s presence in the Greater Vancouver area of British Columbia.
“We look forward to welcoming the Southview team and their wealth of experience in condominiums and rental management to the Tribe family,” Tribe CEO Joseph Nakhla said in a statement.
“Southview’s office in Richmond expands our presence in BC’s Lower Mainland, creating additional revenue streams while bringing efficiencies through the digitization of their communities,” he added.
The acquisition continues Tribe’s strategy of identifying optimal operational opportunities and continuing to expand the company’s local footprint and digital services. The companies signed the agreement on May 12, 2022.
READ: Tribe reports record fiscal 2021 revenue and gross margin after strong 4th quarter
“Our team is excited to join a customer-focused company that is solving traditional property management problems with new technologies and operational efficiencies that will improve the level of service we can provide to our customers,” said the Southview Director. , Jeff Wolrige.
In exchange for all of Southview’s outstanding share capital, Tribe agreed to pay $600,000 to existing Southview shareholders, payable as follows:
(a) $200,000 payable on the closing date
(b) $300,000 payable in common shares of Tribe
(c) $100,000 payable on the date that is 90 days after the closing date, subject to certain adjustments based on revenue and customer contracts
The issue price of the Consideration Shares will be equal to the twenty-day weighted average closing price immediately prior to the completion of the Acquisition.
All consideration shares issued will be subject to a voluntary blocking from which one third of the consideration shares will be released every six months for a period of eighteen months.
Tribe has the option to reduce the consideration shares by 50% in exchange for a cash payment of $150,000 at closing. Tribe will assume the $40,000 loan from Southview’s Canadian emergency business account as part of this transaction.
Closing of the Acquisition is expected to occur on or about June 30, 2022 and is subject to receipt of TSX Venture Exchange approval and satisfaction of customary conditions and documentation. Upon closing, Southview Director Jeff Wolrige will join Tribe as Senior Community Manager.
No finder’s fee was paid or payable in connection with the transaction.
Tribe is a real estate technology company disrupting the traditional property management industry. As a rapidly growing, technologically advanced property management company, Tribe’s integrated service technology delivery model meets the needs of more stakeholders than traditional service providers.
The company seeks to acquire highly accretive targets in North America’s fragmented property management industry and transform these businesses through streamlining and digitizing operations.
Tribe’s platform reduces customer acquisition costs, increases retention, and enables the addition of value-added products and services through the platform.
Contact the author at [email protected]