REG - Supply @ME Capital - Strategic Alliance with VeChain Foundation

Supply@Me CapitalAnnouncement

28/06/2022 07:01

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RNS Number : 3500Q  Supply @ME Capital PLC   28 June 2022

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
THE MARKET ABUSE REGULATION NO 596/2014 WHICH IS PART OF ENGLISH LAW BY VIRTUE
OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018, AS AMENDED. ON PUBLICATION OF
THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INSIDE
INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN

 

Supply@ME Capital plc

(The "Company" or "SYME")

Strategic Alliance with VeChain Foundation to provide up to US$10 million of
funding for inaugural Inventory Monetisation transactions

&

Launch of the "Web3" stream.

Supply@ME Capital plc, the fintech business which provides an innovative
Platform for use by manufacturing and trading companies to access Inventory
Monetisation© solutions enabling their businesses to generate cashflow,
announces that it has signed a strategic alliance (the "Agreement") with the
VeChain Foundation 1  (#_ftn1) ("VeChain"), a blockchain enterprise service
provider focused on supply chain and sustainability, to fund the first
inaugural Inventory Monetisation transaction and kick off the "Web3" 2 
(#_ftn2) stream.

The objective of the Agreement is to create a sustainable Web3 environment
that will allow direct participation in the Inventory Monetisation journey
combining traditional finance with the blockchain space. According to
Messari 3  (#_ftn3) research, the top 100 digital assets in circulation
capitalise over USD 1.2 trillion, of which approximately 60% are currencies,
like Bitcoin, and stablecoins, like Tether.

The Agreement has two phases, both in terms of investment opportunities and
technology development.

In Phase One, a proof-of-concept real transaction will be executed by end of
July, involving a client company already selected by SYME from its existing
Italian portfolio, with the VeChain Foundation serving as provider of its
VeChainThor blockchain and NFT investor.

Following the successful completion of the first transaction and an assessment
of the innovative process designed to link digital assets to the real economy,
Phase Two will build up an "Inventory Monetisation Platform 3.0" with an
expected roadmap of Web3 features, including the issuance of Non Fungible
Tokens ("NFT"), digital ownership and B2B marketplaces, decentralised finance
(DEFI) and, overall, a governance protocol. For this phase, to be completed by
end of December 2022, it's expected the Inventory Monetisation transactions
will be also funded by further multiple liquidity providers (crypto asset
managers and direct investors through liquidity pools partnerships).

The commitment budgeted by VeChain within the Agreement to directly subscribe
the Inventory (NFT-based) Monetisation Transactions is up to USD $10m, of
which approx. USD $1.5m immediately releasable to fund the available eligible
inventory of the first Italian client selected and the rest, during the Phase
Two, for one or more further client companies, also including the current UK
portfolio.

Alessandro Zamboni, CEO of Supply@ME, said: "We are delighted to have reached
this important milestone, eagerly anticipated by ourselves and our
shareholders, to secure the first inventory monetisation transaction. Given
the innovative nature of our product offering, the digital asset world is an
ideal provider of funding for our unique asset class. Notwithstanding the
recent turbulence in the crypto market, the digital economy will play a
crucial role in supporting pioneering businesses like Supply@ME."

"As Supply@ME continues to scale, we are mindful of the evolving nature of the
commercial and international trade, whereby digital assets are becoming
increasingly popular among investors and have the potential to revolutionise
the traditional financial services industry. They can also support and educate
it for the future, boosting confidence in investing in new structures such as
our Inventory Monetisation transactions. By embarking upon this alliance with
the highly respected VeChain, an organisation that is unique in the
sustainability and supply chain sector, we are working to ensure the business
is future-proof and highly scalable. In parallel, we continue to progress our
own traditional funding routes which remains strategic for our business
model".

 

Sunny Lu, CEO of the VeChain Foundation, added: "We're always looking to join
hands with innovative companies pushing the fore of digital technology.
VeChain has demonstrated its ability to dream up, and subsequently deploy, new
ideas and ecosystems that harness the revolutionary power of blockchain. We
recognised the same potential in Supply@ME and their novel tradFi-Defi
inventory management service. We look forward to working with them to
co-develop these new systems and provide businesses with an entirely new
method of raising value from Inventory Monetisation".

 

Notes

Supply@ME Capital PLC and its operating subsidiaries (together the "Group")
provide an innovative fintech platform (the "Platform") for use by
manufacturing and trading companies to access inventory trade solutions
enabling their businesses to generate cashflow, via a non-credit approach and
without incurring debt.  This is achieved by their existing eligible
inventory being added to the Platform and then monetised via purchase by third
party Inventory Funders.  The inventory to be monetised can include
warehouse goods waiting to be sold to end-customers or goods/ commodities that
are part of a typical import/ export transaction. SYME announced in August
2021 the launch of a global Inventory Monetisation programme which will be
focused on both inventory in transit monetisation and warehoused goods
monetisation. This programme will be focused on creditworthy companies and not
those in distress or otherwise seeking to monetise illiquid inventories.

 

Contacts

Alessandro Zamboni, CEO, Supply@ME Capital plc, investors@supplymecapital.com

Paul Vann, Walbrook PR Limited, +44 (0)20 7933 8780; paul.vann@walbrookpr.com

Chanice Smith, Cicero/AMO, +44 (0)207 947 5328, chanice.smith@cicero-group.com

 1  (#_ftnref1) https://www.vechain.org/

 2  (#_ftnref2) According to Messari report "Crypto theses 2022", crypto, or
the recently en vogue "Web3", is an unstoppable force in the long-term. Web3
is an all-encompassing term that captures cryptocurrencies (digital gold &
stablecoins), smart contract computing (Layer 1-2 platforms), decentralized
hardware infrastructure (video, storage, sensors, etc), Non-Fungible Tokens
(digital ID & property rights), DeFi (financial services to swap and
collateralize web3 assets), the Metaverse (the digital commons built in
game-like environments), and community governance (DAOs, or decentralized
autonomous organizations).

 3  (#_ftnref3) https://messari.io/

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