CORRECTION: Stonegate Capital Partners Updates Coverage on Venzee Technologies Inc. (OTCQB:VENZF)

·3 min read

This press release corrects the September 14 release by changing the ticker symbol to VENZF.

DALLAS, TX / ACCESSWIRE / September 14, 2021 / Venzee Technologies Inc. (OTCQB:VENZF) : The full report can be accessed by clicking on the following link: Q221.pdf .

Venzee Technologies, Inc. is the leading artificial intelligence platform used to transfer product data between brands and retailers more efficiently. Venzee markets a cloud-based software platform that suppliers and manufacturers from multiple industries use to share their product information and inventory updates, in real-time, with their retailers. The Company's proprietary Mesh Connector™ technology uses automation, machine learning, blockchain, and AI to automatically and intelligently sense, map, and distribute product information to retailers worldwide, providing a one-to-many solution for brands looking to establish an automated connection to their global retail destinations. Venzee states that its products will reduce friction in the global supply chain and disrupt and replace inefficient manual processes with integrated, machine-driven solutions.


  • New Mesh Connector technology - Venzee's believes that its technology will disrupt the older manual and pooled data solutions with a smart tech SaaS platform which will enable Consumer Brands to connect with more selling channels efficiently. Venzee's solution allows for 1-Step product setup with which Consumer Brands can automatically map and send unlimited product attributes to multiple retailers. Venzee recently reported that at Q221, it sold 792 Mesh Connectors, up from 675 Mesh Connectors sold in Q121. The Company also saw a 55% increase in revenue Q/Q as previously sold Mesh Connectors were activated and promotional periods sold in 1H 2021 came to an end.

  • AI and Blockchain implementation - Existing solutions are very time consuming and labor intensive, with brands having to manually copy & paste product data to each retailer and create thousands of SKUs or barcodes, before emailing or faxing them to each individual retailer. Venzee's solution replaces current manual efforts by using automation, machine learning, and artificial intelligence (AI), to automatically sense, map, and send unlimited consumer facing product information/attributes to any retailer globally.

  • Large and expanding market - The world customer experience management market is expected to reach US$27.1B by 2028, representing an CAGR of ~17.5%. The Company's initial focus will be on expanding its Mesh Connector™ technology within a target organization. Venzee believes the supply chain is ripe for disruption given its current manual and pooled data solutions. The Company believes its technology platform can fundamentally change the way the supply chain operates with respect to product data transfers.

  • SaaS model to potentially generate consistent cash flow - Venzee's Mesh Connector™ platform is designed to be delivered as software-as-a-service (SaaS). As such, this model should generate high monthly recurring revenue (MRR). The Company's Mesh Connector™ platform is scalable and can be widely deployed to many brands. As Venzee executes on its growth strategy, the Company should see increasing revenues and cash flows.

  • Increased number of strategic partnerships - Venzee's recent negotiations have led to partnerships with multiple Fortune 1000 firms, which should increase MRR and establish Venzee Technologies as a major competitor in the market.

  • Valuation - Given the early stage of the Company, we are using an EV/sales ratio to help frame valuation. We are using a 3-year forward revenue projection based on management assumptions/guidance. Using an EV/S range of 4.0x to 6.0x, and discounting this value to present day, we arrive at a valuation range of US$0.12 to US$0.18, with a mid-point of US$0.15. See page 5 for more details.

About Stonegate Capital Partners
Stonegate Capital Partners is a Dallas-based corporate advisory firm dedicated to serving the specialized needs of small-cap public companies. Since our inception, our mission has been to find innovative, undervalued public companies for our network of leading institutional investors who seek high-quality investment opportunities.

Stonegate Capital Partners
(214) 987-4121

SOURCE: Stonegate Capital Partners

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