- Hank Payments Corp. (HANK) has signed a binding MOU to negotiate a national license agreement for the use of the Hank technology platform in Canada
- The exclusivity agreement would be for an initial term of five years, underpinned by minimum monthly licensing fees
- Hank will provide platform hosting, segmented in Canada, dedicated to the licensee
- The licensee has provided a deposit of $150,000 and will invest $250,000 into Hank’s next financing
- Hank Payments has also appointed John Cerny as Head of Strategic Partnerships and Chief Compliance Officer
- CEO Michael Hilmer spoke with Daniella Atkinson about the news
- Hank is a fintech software-as-a-service (SaaS) company that supports consumer budgeting and cash management automation
- Hank Payments Corp. (HANK) is unchanged trading at $0.055 per share
Hank Payments (HANK) has signed an MOU to negotiate a national license agreement.
The agreement pertains to the use of the Hank technology platform in Canada.
Highlights:
- The exclusivity agreement would be for an initial term of five years, underpinned by minimum monthly licensing fees approaching material user counts over time
- Additional licensing fees are to be paid monthly as user counts exceed the minimums
- Potential to lengthen the exclusivity beyond five years
- A period to allow the parties to integrate with existing and new channels/suppliers/platforms that the licensee will deliver, including banking and regulatory-compliant platforms
- The licensee has provided a deposit of $150,000 and will invest $250,000 into the next available financing offered by Hank at the current pricing
- Up to $500,000 in R&D work to be provided by the company for customization. Market rates apply for customization over and above hours consumed by the initial R&D credit amount
- Hank will provide platform hosting, segmented in Canada, dedicated to the licensee with customary support and related service levels
- The expected definitive signing of licensing agreement will be no later than January 30, 2023
Hank Payments has appointed Mr. John Cerny as Head of Strategic Partnerships and Chief Compliance Officer. Mr. Cerny has more than 30 years of experience in the U.S. banking sector, including roles as President, Chief Operating Officer and Chief Compliance Officer. The addition of Mr. Cerny to the executive team is consistent with the company’s focus on cost management and investing in revenue growth initiatives.
Michael Hilmer, Chairperson and CEO of Hank Payments, commented,
“We developed a meaningful interest in our first country-wide license and are very pleased with the progress we have made with our Canadian partner. After our due diligence, we grew very confident the volume of users they have access to will provide meaningful growth to Hank. We are also very excited to have John Cerny join in a fundamental and important executive capacity. John’s innovative style and fearless approach to new ideas and markets are refreshing, and we are excited to build on the opportunities he has already identified.”
Mr. Cerny added,
“When I look at markets such as student and education-related budget and cash management, as well as medical payment management, among many others, I am extremely excited. Hank has the right solution at the right time for the problems facing American and Canadian consumers. I look forward to contributing my ideas and network to growth acceleration.”
Hilmer also joined Daniella Atkinson to speak about the news.
Hank is a fintech software-as-a-service (SaaS) company that supports consumer budgeting and cash management automation.
Hank Payments Corp. (HANK) is unchanged trading at $0.055 per share as of 12:09 pm ET.
