Mr. Lucido was a founding partner
of DoubleLine Capital, the US$148 billion Los Angeles-based investment management firm
headed by Jeffrey Gundlach
MILE has become the third largest
micro-mobility company in North
America by contracted location
Aggressive rollout plan from 2,500 mobility
units to 20,000 mobility units under secured permits
Long term, exclusive contracts with 35
universities and 45 municipalities
Industry leading unit economics, with the
majority of deployments currently generating positive cashflow at
the site level
Addition of experienced industry management
and billion-dollar private equity firm mSouth to cap table
CHARLESTON, SC and VANCOUVER, March 9, 2020 /CNW/
- Last Mile Holdings Ltd. (formerly OjO Electric Corp.)
(the "Company" or "MILE") (TSXV: MILE;
OTC: AZNVF) is pleased to announce the commencement of trading
in the Company's limited voting shares on the TSX Venture Exchange
under the ticker symbol "MILE" effective at market open on
March 9, 2020, as well as the appointment of Louis Lucido, founding partner of the
US$148 billion investment management
firm DoubleLine Capital, as Chair of the Company's Board of
Directors.
"I have enthusiastically supported OjO since participating in
its first financing as a private company, and am delighted to step
in now as Chairman of MILE to play a more active role, working
closely with Max Smith, Sean Flood, and the rest of the management team
as we embark on a major period of growth for the business," said
Mr. Lucido. "I look forward to helping spearhead the Company's
accretive capital deployment strategy and very quickly building
MILE into a micro-mobility leader that is both profitable and
sustainable."
Prior to his retirement at the end of 2018, Mr. Lucido
spent 50 years in the financial services industry, most recently as
Senior Advisor, Chief Operating Officer, and founding partner of
DoubleLine Capital. He was previously at TCW as Group Managing
Director, which he left in 2009 with Jeffrey Gundlach and three others to found
DoubleLine, launching what would become one of the fastest-growing
mutual funds of all time. Prior to joining TCW in 2001,
Mr. Lucido was the Chief Investment Officer at Delphi
Financial Group, sitting on a number of subsidiary boards. Prior to
that, he was the Chief Operating Officer at Hyperion Capital
Management, working alongside Lewis
Ranieri. Mr. Lucido is currently on the Board of
Directors of BioCorRX, a healthcare solutions company on the
leading edge of alcohol and opioid addiction treatment. From
February 2013 until June 30, 2019 he served as a member and chair of
the Board of Directors of Court Appointed Special Advocates (CASA)
of Los Angeles. He is currently on
the board of National CASA. Additionally, he was elected in 2013 to
the board of Junior Achievement, Southern
California and served until March
2019. He is currently on the boards of 826LA and the Lupus
Research Alliance (formerly the Alliance for Lupus Research).
In addition, MILE is pleased to announce the appointment of
Sean Flood, Chief Executive Officer
and founder of Gotcha Mobility, as a Director of MILE.
Mr. Flood has spent over 10 years operating and establishing
deep relationships in the mobility space, having partnered with
>100 shared e-mobility systems across the U.S. In addition to
his directorship with MILE, Mr. Flood will continue to run
wholly-owned subsidiary Gotcha Mobility as Chief Executive
Officer.
Under Mr. Flood's leadership, Gotcha was recognized as one
of America's fastest-growing companies in 2018 and 2019 on the Inc.
5000 list and was a finalist on Fast Company's 2019 World
Changing Ideas Awards in the Health and Wellness category for
providing students with sustainable micro-transit products that
encourage healthy lifestyles. In 2019, Mr. Flood received
Charleston Regional Business Journal's Forty Under 40 award
for his entrepreneurship in launching Gotcha and community
involvement.
"I am honored to join the board of MILE," said Mr. Flood.
"It has been inspiring to see the mobility industry change over the
last 10 years and watch consumers adapt to micro-transit. I look
forward to working with our talented board and management team as
we continue to develop innovative ways to make each of our systems
profitable and successful. 2020 is all about execution!"
Corporate Updates
Board and Management Updates
Don Ratner and Dale Seiden, co-founders of OjO Electric,
graciously ceded their board seats for incumbents, Mr. Lucido
and Mr. Flood. The Company would like to thank Mr. Ratner
and Mr. Seiden for their many contributions as OjO founders
and board members. OjO's third co-founder, Alan Shapiro, will continue to serve on the
Company's board.
In addition to Mr. Flood being appointed as a Director of
MILE and the continuation of his role as Chief Executive Officer of
Gotcha Mobility, the Company is pleased to announce that Gotcha
Mobility's Chief Operating Officer, Dave
Touwsma, will also continue in this role. In connection with
the appointments of Mr. Flood and Mr. Touwsma, the
Company has agreed to issue an aggregate of 10,000,000 retention
warrants, with each such warrant vesting after a three year period,
subject to earlier vesting based on specified criteria, and each
such warrant exercisable for one additional limited voting share of
the Company at C$0.50 per share for a
period of five years.
Multiple Voting Shares; Early Warning
In connection with the closing of the Gotcha acquisition and
associated financing, all the issued and outstanding multiple
voting shares ("MVS") of the Company have converted, in
accordance with the Articles of the Company, into limited voting
shares ("LVS") of the Company on a one-for-one basis
(the "MVS Conversion"). Following the MVS Conversion,
no MVS remain outstanding. Accordingly, the Company has a total of
68,934,732 LVS issued and outstanding and on an as-converted basis,
assuming the redemption of all OjO membership units for LVS, the
effective capitalization of the Company consists of 100,877,656
LVS.
Prior to the MVS Conversion, Donald
Ratner, Alan Shapiro,
Dale Seiden, and Maxwell Smith held or controlled an aggregate of
35,000, 35,000, 15,000, and 44,000, respectively, of the Company's
MVS, representing an aggregate of 20.02%, 20.02%, 8.58%, and
25.17%, respectively, of all outstanding voting rights of the
Company. In addition, Mr. Ratner, Mr. Shapiro,
Mr. Seiden, and Mr. Smith held or controlled
3,815,820, 3,815,820, 1,685,576, and 160,773, respectively, Common
A Units of OjO Electric, LLC ("Common A Units");
Mr. Smith held 2,493,838 Class B Units of OjO Electric,
LLC ("Class B Units") and 1,500,000 Stock Options of the
Company ("Options"); and Messrs. Ratner, Shapiro, and Seiden
each held 350,000 Options. Assuming full conversion of the MVS,
Common A Units, Class B Units, and Options, Mr. Ratner,
Mr. Shapiro, Mr. Seiden, and Mr. Smith, would have
held or controlled an aggregate of 4,200,820, 4,200,820, 2,050,576,
and 4,198,611, respectively, LVS of the Company representing
10.73%, 10.73%, 5.54%, and 10.73%, respectively, of the issued and
outstanding LVS of the Company on a partially diluted basis. After
the MVS Conversion, Mr. Ratner, Mr. Shapiro,
Mr. Seiden, and Mr. Smith hold or control an aggregate of
35,000, 35,000, 15,000, and 44,000, respectively, LVS; 3,815,820,
3,815,820, 1,685,576, and 160,773, respectively, Common A Units;
Mr. Smith holds 2,493,838 Class B Units and 1,500,000 Options; and
Messrs. Ratner, Shapiro, and Seiden each hold 350,000 Options.
Assuming full conversion of the Common A Units, Class B Units, and
Options, Mr. Ratner, Mr. Shapiro, Mr. Seiden, and
Mr. Smith would hold or control an aggregate of 4,200,820,
4,200,820, 2,050,576, and 4,198,611, respectively, LVS of the
Company representing 3.97%, 3.97%, 1.94%, and 3.96%, respectively,
of the issued and outstanding LVS of the Company.
About Last Mile Holdings
Last Mile Holdings (TSXV: MILE; OTC: AZNVF), formerly
OjO Electric, is one of the largest micro-mobility companies in the
U.S., offering the broadest product suite in the industry. Last
Mile has a portfolio of exclusive, long-term contracts to operate
shared mobility systems at 35 colleges and 45 municipalities under
the OjO and Gotcha brands. The acquisition of Gotcha in the first
quarter of 2020 provides an expansive growth pipeline and a
portfolio of products including e-bikes, e-scooters, e-trikes, and
electric seated scooters. For more information, visit
lastmile.holdings.
About Gotcha Mobility
Gotcha is a shared electric mobility company dedicated to
providing innovative products and technologies that get people out
of single-occupancy cars and safely onto efficient, sustainable
micro-transit products. The company operates e-bikes, e-scooters,
seated scooters, and e-trikes as transportation solutions tailored
to cities and universities across the US. Gotcha empowers
communities to lead happier, more productive lives through the
transformative power of affordable, accessible micro-transit. For
more information, visit ridegotcha.com.
Cautionary Statement Regarding Forward-Looking
Information
This news release includes certain "forward-looking statements"
and "forward-looking information" under applicable Canadian
securities legislation that are not historical facts.
Forward-looking statements involve risks, uncertainties, and other
factors that could cause actual results, performance, prospects,
and opportunities to differ materially from those expressed or
implied by such forward-looking statements. Forward-looking
statements in this news release include, but are not limited to,
statements with respect to: MILE and MILE's business and prospects
and the Company's objectives, goals or future plans, including the
planned deployment of its mobility units; and the business,
operations, and management of the Company. Forward-looking
statements are necessarily based on a number of estimates and
assumptions that, while considered reasonable, are subject to known
and unknown risks, uncertainties and other factors which may cause
actual results and future events to differ materially from those
expressed or implied by such forward-looking statements. Such
factors include, but are not limited to: the ability of MILE to
meet its deployment targets, access to sufficient mobility units,
meeting the requirement of the permits granted to MILE, general
business, economic and social uncertainties; litigation,
legislative, environmental and other judicial, regulatory,
political and competitive developments; delay or failure to receive
board, shareholder or regulatory approvals; those additional risks
set out in the Company's public documents filed on SEDAR at
www.sedar.com; and other discussed in this news release.
Accordingly, the forward-looking statements discussed in this
release, may not occur and could differ materially as a result of
these known and unknown risk factors and uncertainties affecting
the companies. Although the Company believes that the assumptions
and factors used in preparing the forward-looking statements are
reasonable, undue reliance should not be placed on these
statements, which only apply as of the date of this news release,
and no assurance can be given that such events will occur in the
disclosed time frames or at all. Except where required by law, the
Company disclaims any intention or obligation to update or revise
any forward-looking statement, whether as a result of new
information, future events, or otherwise.
Reader Advisory
Neither the TSX-V nor its Regulation Services Provider (as
that term is defined in the policies of the TSX-V) accepts
responsibility of the adequacy or accuracy of this release.
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SOURCE Last Mile Holdings Ltd.