Vsblty Groupe enters LOI for JV with Burkhan, BPIH

Executive Summary

• Vsblty Groupe Technologies Corp. has entered into a Letter of Intent (LOI) to form a strategic joint venture with Burkhan Capital Inc. and Business Platform Investment Holding Company (BPIH), a Saudi Arabian entity.
• The proposed joint venture aims to restructure Vsblty's existing Saudi-related operations into a new entity based in Saudi Arabia, focusing on technology deployment and infrastructure initiatives in the Kingdom and surrounding markets.
• The venture will focus on artificial-intelligence-enabled security systems, data centre infrastructure, computer vision, and data fusion software deployments.

Key Details

• Parties Involved: Vsblty Groupe Technologies Corp., Burkhan Capital Inc., and Business Platform Investment Holding Company (BPIH).
• Ownership Structure: The proposed joint venture is intended to be owned equally by the three parties, with each holding a 33.3% interest.
• Vsblty Contributions: Vsblty will contribute certain Saudi-related business operations, provide access to its software platforms, and license certain software products and services to the joint venture for deployment within a defined regional territory.
• Burkhan Capital Contributions: Burkhan Capital will assist in pursuing strategic development opportunities, including facilitating access to potential project opportunities, capital sources, and regional partnerships.
• BPIH Contributions: BPIH will support local engagement, assist with regional relationships, project facilitation, and operational coordination in Saudi Arabia.
• Target Markets: The joint venture will pursue opportunities in data centre, defence, and enterprise markets, leveraging Vsblty's computer vision, data fusion, and analytics capabilities.
• Next Steps: The parties intend to negotiate and execute definitive agreements, including a shareholders' agreement and related transaction documentation.
• Caveats: There is no assurance that definitive agreements will be entered into or that the joint venture will be completed on the described terms or at all.

Notable Quotes

• Shahal Khan, CEO of Burkhan Capital: "Burkhan seeks to work with technology companies that are developing solutions relevant to next-generation infrastructure and security needs. We believe Vsblty's computer vision, data fusion and analytics capabilities provide a strong foundation for potential projects in the region in data centre, defence and enterprise markets. We look forward to exploring opportunities together with Vsblty and BPIH."
• Jay Hutton, Co-founder and CEO of Vsblty: "This letter of intent represents an important step in expanding our strategic relationships in the Middle East. Saudi Arabia and the broader Gulf region are investing heavily in advanced technologies and infrastructure, and we believe collaboration with Burkhan Capital and BPIH may provide a framework for pursuing opportunities where our software platforms can be deployed effectively."