RE: Motive Television10 Mar 2015 07:17
[MTV]
Motive and Tablet TV, LLC (TTV) today announce that they have signed licence agreements regarding the Tablet TV Joint Venture in the United States.
Motive and TTV have entered into two agreements under which the Joint Venture receives non-transferable, perpetual, and irrevocable licences for use of Motive's technology for the territory of the United States and Canada to be used for the business of Tablet Television.
The Base Technology Licence Agreement provides for the Motive Technology platform which enables the provision of linear and video-on-demand services to mobile devices. This Agreement is provided to Tablet TV LLC as the 50% equity investment by Motive to match Granite's investment and in kind services.
The Tablet Technology Licence Agreement enables delivery to a mobile device of enhanced mobile TV services; and makes possible both free-to-air and encoded content delivered via the ATSC standard into a format viewable on a mobile device. It also enables channel selection and viewing, recording functionality, and social networking and added functions. This agreement also includes "Motive Tablet Technology" which is the Motive Tablet App and that part of the Motive Technology resident within a T-Pod antenna.
Under the Tablet Technology Licence Agreement, Motive will receive Royalties based on a licence fee for each end user signed up for the Tablet TV service based on a formula that takes into account the cumulative number of end users.
In addition the Limited Liability Company Agreement, originally signed in May 2012, was updated.
Although there is no guarantee as to the full financial impact to Motive, the Company believes that both the Base Technology Licence Agreement and the Tablet Technology Licence Agreement provide the potential for a substantial uplift in the Company's revenues over the next years.
Commenting on the new Agreements, Motive CEO Leonard M Fertig said: "These licence agreements are the most significant and valuable contracts signed in Motive's history. After three years of hard work, Tablet TV is ready to take its place as an operating business across the United States and Canada, and it is important to put the licensing agreements in place to go forward with industry partners and strategic investors. We are delighted to re-affirm our relationship with Granite and look forward to a very successful business together."
Chairman of Granite, Peter Markham added: "Tablet TV has moved from an idea to a remarkable product. I look forward to the next stage in the development of Tablet TV with Motive."
Company and Bergen Global Opportunity Fund, LP ("Bergen") are parties to a Convertible Securities Issuance Deed dated 12 May 2014, as subsequently amended (the "Deed") in connection with an issuance of zero coupon convertible securities by the Company (the "Convertible Securities").
The Company and Bergen have today agreed to make certain amendments to the provisions of the Deed.
Under the amendments:
· the Company will not have an obligation to issue any further Convertible Securities, and
further such issuances, if any, will be undertaken by mutual consent of the Company
and Bergen only;
· Bergen has agreed to forego certain conversion rights in relation to the Convertible
Securities currently outstanding; and
· the nominal amount of the first convertible security previously issued under the Deed
has been amended from £447,181 to £780,020. All the other terms of the Deed remain
as previously announced.