- TruTrace Technologies (CSE:TTT) has signed a software license agreement with supply chain software company, OrionOne Global
- Under the agreement, TruTrace will use OrionOne’s platform to assist in commercialising its own core products
- Incorporating OrionOne’s logistics tracking into TruTrace’s StrainSecure product is likely to improve the service it provides to cannabis users
- The company will pay OrionOne an initial fee of C$385,000, through an issuance of 7.7 million shares
- TruTrace Technologies (TTT) is up 11.11 per cent and is currently trading at five cents per share
TruTrace Technologies (CSE:TTT) has signed a software license agreement with supply chain software company, OrionOne Global.
OrionOne’s technology serves as a logistics tracking hub, which allows users to navigate shipments and logistics all over the world. Under the agreement, TruTrace will use OrionOne’s platform to commercialise its own core products.
TruTrace’s main product is StrainSecure, a blockchain platform which tracks cannabis products at every point in the process. Incorporating OrionOne’s logistics tracking into StrainSecure will likely improve the service which it provides to cannabis users.
For the agreement’s initial term of five years, TruTrace will pay OrionOne an initial license fee of C$385,000. The company will do so by issuing 7.7 million common shares in the company, at 5 cents a share.
The agreement is renewable for consecutive five year terms. TruTrace will also pay OrionOne a follow-up fee of approximately $33,900. The company will do so within 30 days of the company’s next equity financing closing, or six months from the date of the license agreement, whichever comes first.
In addition, TruTrace has agreed to pay OrionOne a nominal annual license fee, in lieu of royalty payments.
TruTrace’s CEO, Robert Galarza, commented on the software agreement, and the benefits that it could provide to the company.
“Finalising this license agreement with OrionOne not only assures the long-term functionality of StrainSecure, but we believe it will open up market opportunities for TruTrace in other key industries.
“Our core mission was built on traceability of quality assurance and testing details at a very granular level. We believe the incorporation of logistics tracking will significantly expand our client base,” he said.
TruTrace Technologies (TTT) is up 11.11 per cent and is trading at five cents per share at 12:01pm EDT.