Tony Reeves, Chairman of CloudTag, said “I am delighted by the progress our CEO Amit Ben-Haim has achieved in such a short period of time. The Company has exceeded the targets set out in the strategy devised by Amit and is now able to accelerate growth as we come to launch the product and focus on driving sales and distribution globally. This is demonstrated both by the progress of the commercial discussions with retailers and e-tailers throughout Europe and the UK and by the more recent developments in the US. This growth shall be further supported with the expansion plans for the executive management team as new business development and sales directors are set to join as well as additional members for our R&D team. I am also pleased with the fund raising activities conducted by the Company to deliver in excess of GBP1.6 million since September 2015. We have endeavoured to raise capital in line with these accelerated plans while still protecting shareholder value through premium placings at regular intervals.”
CloudTag (CTAG:LN), the company that brings personal monitoring to the health, wellbeing and fitness markets is pleased to announce its interim results for the six months ended 31 March 2016.
Highlights (Taken from post-period end at Finals)
— Launched first product set on schedule, CloudTag Track(TM) and the beatSMART(TM) Clip, at the Consumer Electronics show, Las Vegas, USA in January 2016
— Signed significant distribution agreement with Second Chance Limited worth a value of $5.2 million
— Appointed Dr Gerald Bereika as Non-Executive Director, bringing experience and expertise in healthcare services and the psychology of behavioural change to the Board
— Appointed Jessie Pavelka, a well-known global fitness and weight loss expert as Global Brand Ambassador and is regarded as one of the top 5 social media influencers
— Exclusive strategic commercial license agreement with Imec International, who are shareholders in the Company and who, in partnership with the Company, have developed the unique cutting edge energy expenditure algorithms for the wearable technology
— Strengthened relationship through the issue of warrants in respect of historic fees with Preciousbluedot Limited, shareholders of the Company, and the software partner who have developed the mobile application
-- Successful fundraisings of GBP1,095,400 in equity and GBP1.25 million debt facility
— Successful testing with the Human Performance Unit at the Centre for Sports and Exercise Science, University of Essex proving the accuracy of the product with comparative testing to the industry gold standard medical equipment, ECG tracking with 98-99% accuracy and energy expenditure (kcal) tracking between 91-99% accuracy
Post Period End
— Staged fundraisings totalling GBP751,430, each at a premium to the prevailing market price to minimise dilution and maximise value for shareholders
— Reduction in Company’s indebtedness through the conversions of loans at preferential rates for the Company and conversion of certain creditors
— Investment in areas of strategic focus whilst reducing costs in non-core areas. Maintained R&D spend while increasing capex expenditure for manufacturing and one-off tooling costs, sales, marketing and business development
— Total costs for the period increased in line with the Company’s strategy to accelerate the growth of the business
