PowerBand Solutions (TSXV: PBX) has acquired a 60% membership interest in IntellaCar Solutions, a user-friendly platform that enables auto dealerships and consumers to purchase vehicles on smart devices. The transaction was announced last night by the company.
In addition to enabling the simplified purchase or trade-in of a vehicle, IntellaCar owns an extensive video and brochure library of vehicles. The database enables consumers to review vehicle details on any make and model produced over the last ten years.
Further, the platform has proven itself as a means of increasing sales, boosting productivity and efficiency, and generating higher finance and insurance sales for auto dealers – making it a platform that should be in strong demand. Once integrated fully with PowerBand’s DRIVRZ virtual transaction system, the platform will enable consumers and dealers to easily buy, sell, lease, finance, and trade-in vehicles, with all key aspects of automotive retail being centralized to one platform.
“With IntellaCar we now have an incredibly user-friendly platform that dealers and consumers can use in a dealership, or from any location, to search, finance and purchase a vehicle. PowerBand will offer access to more than 4.5 million new and used vehicles and IntellaCar is the simple-to-use interface that makes buying, selling, leasing and financing a car as easy as buying something on Amazon.”Kelly Jennings, PowerBand CEO
Under the membership interest purchase agreement signed yesterday, PowerBand will acquire a 60% interest in IntellaCar via its subisidiary DRIVRZ US, LLC. Gross consideration will be $2.42 million, consisting of 2.0 million common shares of PowerBand Solutions, as well as US$1.5 million in cash. The cash portion will be settled via an initial US$500,000 payment, followed by two promissory notes, due December 31, 2020 and March 31, 2021.
PowerBand Solutions last traded at $0.26 on the TSX Venture.
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