TechFinancials to terminate all its B2B brokerage services activities
Techfinancials’s Board of Directors has taken the decision to give its licensees a six months termination notice according to the license agreement in place.
TechFinancials is set to terminate all its B2B brokerage services activities, the company said today. The company blamed its decision on continuing regulatory challenges facing its traditional brokerage solutions business unit and the decline in corresponding revenues.
The company’s Board of Directors has taken the decision to give its licensees a six months termination notice according to the license agreement in place. TechFinancials will cease all its B2B brokerage services activities by November 1, 2020 or earlier in case all licensees will choose to terminate their agreement any time before November 1, 2020.
In addition, TechFinancials says it has signed a separation agreement with Footies.Tech (the Co-founders of Footies Ltd.) in which TechFinancials shall purchase from Footies.Tech all of the Footies.Tech Shares (the “Purchased Shares”) at no cost, so that following the purchase of the Purchased Shares TechFinancials holdings will increase from 82.5% to 100% of the issued share capital of Footies Ltd. on a fully diluted basis. In return Footies.Tech will receive the basic source code of the Footies Ltd. as it existed on 31 May 2019. The ownership in the Basic Source Code will be jointly owned by the Company and Footies.Tech.
As FinanceFeeds has reported, TechFinancials delisted its shares from the London Stock Exchange early this year. The last day of dealings in TechFinancials’ ordinary shares on AIM was January 17, 2020 and the admission to trading on AIM of TechFinancials’ ordinary shares was cancelled at 7:00am (London time) on January 20, 2020.
In December 2019, TechFinancials said it was continuing to support customers of its B2B division but that it is reviewing the viability of the remaining B2B business and a further decision would be taken in due course.
