PERRY, Fla.--(BUSINESS WIRE)--(TSX-V:SDZ) (OTCBB:SDEV) Security Devices International Inc. (“SDI” or the “Company”) is pleased to announce the signing of five (5) new master distributors, and two (2) new dealers for the first fiscal quarter.
Over the last quarter, the Company has signed up five (5) new Master Distributors. Master Distributors purchase product from SDI at the lowest price but in exchange, commit to minimum annual purchases of $100,000 annually. This is the first time SDI has signed Master Distributors. The company also signed two (2) new Dealers. Dealers purchase from SDI at slightly higher pricing than Master Distributors, however, Dealers have only a $25,000 annual commitment.
The new Master Distributors include; Ed’s Public Safety, FACTA Global, Surplus Ammo Arms, US Tactical, and Wolverine Supplies. SDI’s new Master Distributors and Dealers will increase the Company’s presence and reach in the northeast, northwest, and southeast corridors, as well as eastern and western Canada.
The Company has also signed a distribution agreement in Poland with WORKS11. WORKS 11, based in Katowice, services the police, military and special forces throughout Poland. SDI also signed a consulting agreement with Proxima Consulting, a consulting firm based in Oman, that works with Ministries throughout the GCC (Gulf Coast Countries) countries. The GCC countries include: Oman, Kuwait, Saudi Arabia, United Arab Emirates, Qatar, and Bahrain.
As a result of the Proxima Consulting agreement, SDI was able to exhibit at IDEX (the International Defense Exhibition & Conference) in Abu Dhabi in February 2017. SDI’s Management believes that there are a number of promising leads that were generated at the IDEX show.
SDI’s CEO Dean Thrasher commented, “The Master Distributors and Dealers we have signed on, bolster SDI’s channel portfolio. They will assist in the Company’s sales expansion in targeted States and Provinces in North America. The consulting group we have signed on positions SDI well in the GCC countries where 40mm is just starting to take hold as the next less-lethal option.”
The Company also reports that it has made the third share issuance to Northeast Industrial Partners under the consulting agreement announced on June 20, 2016. SDI issued 503,251 common shares at a deemed price of $0.13 per share to satisfy the payment of USD $50,000 due on February 15, 2017. The shares are subject to a four-month hold period expiring on July 3, 2017. The issuance of shares to Northeast Industrial Partners is the third of four such issuances to occur over the period ending May 15, 2017, as described in the June 20, 2016 news release.
Northeast Industrial Partners is controlled by Bryan Ganz, who was appointed to the board of directors of SDI after the consulting agreement was entered into. Northeast Industrial Partners is a related party of SDI under Multilateral Instrument 61-101 ("MI 61-101"). SDI is exempt from the formal valuation requirement and shareholder approval requirement of MI 61-101 in connection with this issuance.
Certain statements in this news release constitute forward-looking statements. These statements relate to future events or SDI’s future performance and include the expansion of SDI’s product offering and the completion of several development projects. All such statements involve substantial known and unknown risks, uncertainties and other factors which may cause the actual results to vary from those expressed or implied by such forward-looking statements. Forward-looking statements involve significant risks and uncertainties, they should not be read as guarantees of future performance or results, and they will not necessarily be accurate indications of whether or not such results will be achieved. Actual results could differ materially from those anticipated due to a number of factors and risks. Although the forward-looking statements contained in this news release are based upon what management of SDI believes are reasonable assumptions on the date of this news release, SDI cannot assure investors that actual results will be consistent with these forward-looking statements. The forward-looking statements contained in this press release are made as of the date hereof and SDI disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
About Security Devices International Inc.
SDI is a less-lethal company specializing in the sale of innovative, next generation non-lethal ammunition and tactical gear. The Company’s munition solutions are a safer alternative to conventional crowd control devices currently in the marketplace, such as beanbags and batons as well as plastic, wood and rubber bullets. SDI is currently deploying their family of non-lethal munitions to law enforcement, correctional services and homeland security agencies across the globe.
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