Iveda Gets Agreement for $1 Million Prepaid Sentir License
Exclusive Vietnam-Based Reseller Commits
MESA, ARIZ--(Marketwired - Nov 6, 2015) - Iveda® (
Nguyen Business & Investment CO., LTD. is in the process of forming Iveda Vietnam CO., LTD. to be the operating entity to license the Sentir platform and purchase hardware such as Iveda's ZEE® plug and play cameras and IvedaHome cloud automation system. The IvedaMobile® app which leverages existing smartphones to stream live video will also be licensed country-wide by Iveda Vietnam to mobile phone providers. One public safety application recognized in Vietnam is that IvedaMobile allows the smartphone to act as a body camera, without the additional costly and cumbersome hardware for police officers.
Iveda Vietnam will resell the prepaid Sentir licenses to telecommunications, datacenter and manufacturing customers in Vietnam, some of which Iveda US has announced contracts. Iveda Vietnam will facilitate finance and logistics aspects of Iveda's current contracts with the largest telecommunications customers in Vietnam. Its first focus is negotiating purchase orders with Vietnam Post Telecommunications (VNPT) where Iveda has installed Sentir at four of its datacenters. Based on VNPT's projections, Iveda anticipates revenue volume of $6 million to $18 million in 2016.
"This partnership with Iveda Vietnam is the piece of the puzzle we have been diligently working on over the last several months," said David Ly, chairman and CEO of Iveda. "With Iveda Vietnam, we anticipate business to flow smoothly and expeditiously."
Iveda Vietnam principals anticipate they will also cultivate in the near term, additional contracts from Vietnam telcos and datacenters not yet contracted, for the Sentir platform. Iveda Vietnam will make working capital available for deposits or payments, required by Iveda's hardware contract manufacturers to facilitate purchasing by telecom customers on terms acceptable in Vietnam.
As true strategic partners, upon receipt of the $1,000,000 prepaid license fee, Iveda will grant each of the three principals of Iveda Vietnam a five-year warrant to purchase 100,000 common shares of Iveda stock at $1.00 per share.
"We are excited to have a finance and logistics partner with skin-in-the-game prepaid licenses and warrants to align their interests with that of our shareholders," said Bob Brilon, president and CFO of Iveda.
Iveda, Sentir, ZEE and IvedaMobile are registered trademarks of Iveda Solutions, Inc. All other trademarks are property of their respective owners.
This release includes forward-looking statements. Actual results may vary materially from those expected. Iveda's business is subject to significant risks and uncertainties described more thoroughly in the Company's SEC filings, including but not limited to its report on Form 10-K for the year ended December 31, 2014 and its subsequently filed quarterly reports on Form 10-Q. All forward-looking statements made herein are qualified by such risk factors, and readers are advised to consider such factors carefully. Iveda undertakes no obligation to revise these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
Luz A. Berg
Chief Marketing Officer