Update re proposed investment in BlockchainK2 Corp

RNS Number : 7273O

Vela Technologies PLC

21 May 2018

 

21 May 2018

Vela Technologies plc

("Vela")

Update re. proposed investment in BlockchainK2 Corp.

Further to the announcements released by Vela on 18 January 2018 and 5 April 2018, the Board of Vela (AIM: VELA), the investing company focused on early-stage and pre-IPO disruptive technology investments, is pleased to note the update announcement released on 18 May 2018 by African Hydrocarbons Inc. ("African Hydrocarbons").

African Hydrocarbons has received conditional approval from the TSX Venture Exchange in relation to its proposed "Change of Business" transaction ("COB Transaction"). As previously disclosed, African Hydrocarbons is undertaking the COB Transaction pursuant to the policies of the TSX Venture Exchange, with the result that African Hydrocarbons (which will be renamed BlockchainK2 Corp.) will become a blockchain technology company, listed on the TSX Venture Exchange, with its initial business being cryptocurrency mining.

As previously announced, Vela has entered into a conditional agreement to invest £200,589 to acquire a minority equity stake in BlockchainK2 (the "Proposed Investment"). The Proposed Investment will be funded from Vela's existing cash resources.

The Proposed Investment remains subject to a number of conditions being satisfied, including final approval from the TSX Venture Exchange. African Hydrocarbons is working to fulfil those conditions for receipt of final approval from the TSX Venture Exchange and to close the COB Transaction. If the COB transaction is not completed then the Proposed Investment would not take place and funds would be returned to Vela. There can be no assurances that the COB transaction and the Proposed Investment will be completed.

Further announcements on the Proposed Investment will be made by Vela at the appropriate time.

Extracts from the Africa Hydrocarbons announcement are copied below:

Africa Hydrocarbons Receives Conditional Approval for Its Proposed Change of Business Transaction

VANCOUVER, British Columbia, May 18, 2018 (GLOBE NEWSWIRE) -- Africa Hydrocarbons Inc. (NFK.H:NEX) (KNPRF:PNK) (KRL1:STU) (the "Company") is pleased to announced that it has received conditional approval from the TSX Venture Exchange in relation to the Company's proposed "Change of Business" transaction ("COB Transaction").

As previously disclosed, the Company is undertaking the COB Transaction to pursuant to the policies of the TSX Venture Exchange (the "Exchange"), with the result that the Company (which will be renamed BlockchainK2 Corp.) will become a blockchain technology company, listed on the Exchange, with its initial business being cryptocurrency mining. The Company has reserved the stock symbol "BITK" in connection with such proposed name change.

The Company is working to fulfill those conditions for receipt of final approval from the TSXV and to close the COB Transaction. The Company will continue to issue additional press releases related to the COB Transaction and other material information as it becomes available.

ON BEHALF OF THE BOARD OF
AFRICA HYDROCARBONS INC.

Douglas Wu
Director

For further information, please telephone: [phone]

Completion of the COB Transaction is subject to a number of conditions, including but not limited to acceptance by the Exchange and if applicable pursuant to the Exchange requirements, majority of the minority shareholder approval. Where applicable, the COB Transaction cannot close until the required shareholder approval is obtained. There can be no assurance that the COB Transaction will be completed as proposed or at all.

Investors are cautioned that, except as disclosed in the management information circular or filing statement to be prepared in connection with the COB Transaction, any information released or received with respect to the acquisition may not be accurate or complete and should not be relied upon. Trading in the securities of the Company should be considered highly speculative.

The Exchange has in no way passed upon the merits of the COB Transaction and has neither approved nor disapproved the contents of this news release. Neither the Exchange nor its Regulation Services Provider (as that term is defined in policies of the Exchange) accepts responsibility for the adequacy or accuracy of this news release.

 For further information, please contact:

Vela Technologies plc Brent Fitzpatrick, Non-Executive Chairman Antony Laiker, Director Tel: [phone] Allenby Capital Limited (Nominated Adviser) Nick Athanas/Asha Chotai Tel: [phone] Smaller Company Capital Limited (Broker) Rupert Williams/Jeremy Woodgate Tel: [phone]

 

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