Liberty Defense Announces Strategic Review
Vancouver, BC and Atlanta, GA – Liberty Defense Holdings Ltd. (“Liberty” or the “Company”) (TSXV: SCAN, FRANKFURT: LD2, OTCQB: LDDFF), a leading concealed weapons detection company, announces that the Company will be undertaking a strategic review.
Liberty’s go-to-market strategy is to bring its proprietary detection system, HEXWAVE, to market in the most expedient manner possible, taking full advantage of the disruptive technology that underpins the system, which the Company has a worldwide exclusive license to from MIT. Liberty has been successful in meeting all of its stated business objectives and has delivered against these milestones on time, with the most recent achievement being the active real-time 3D imaging, however it has been unsuccessful in raising the necessary capital to continue the current pace of development and, as a result, will undertake a fulsome review of its go-to-market strategy.
This review will result in a delay to the previous announced timelines and will encompass a full review of all aspects of the business, which could include finding a strategic partner, selling, or raising additional funding to ensure that HEXWAVE can be brought to market to address the pertinent need in the marketplace. Liberty has not been able to close on its CA$2.5 million financing previously announced on November 7, 2019 and will be returning the funds received. The Company had several positive news releases in September and October, but market conditions, both macro- and micro-economic, has meant that the Company was not able to raise the funds required to continue to move forward at its current pace.
As part of this strategic review, Liberty also intends to undertake a full review of its investor relations program, and as such, announces the departure of Highland Contact.
In order to reduce burn and conserve cash, the Company has reduced the development scope therefore stopping all outsourcing work and has commenced a reduction of its workforce. Further reduction of its workforce is possible pending on efforts to raise additional funds. The Board and management team wish to sincerely thank each and every employee for their passion and dedication and the tremendous progress they have achieved in such a short time frame.
The Board of Liberty and its management team remains determined to ensure that HEXWAVE can be brought to make and hopes to be able report the results of its strategic review in the new year and set out the path forward.
The Company will be reaching out to its beta test partners in the coming weeks to keep them apprized of the revised development timeline and intends to work closely with MIT LL in developing the revised timetable to ensure continued compliance with the milestones under the license agreement.
Additionally, in recognition of its innovation in addressing the growing demand in the security market, Liberty’s HEXWAVE has recently won the annual ‘ASTORS’ Award, sponsored by American Security Today, in the category of “Best Metal/Weapons Detection Solution”.
On Behalf of Liberty Defense
CEO & Director
About Liberty Defense
Liberty provides security solutions for concealed weapon detection in high volume foot traffic areas and has secured an exclusive license from Massachusetts Institute of Technology (MIT), as well as a technology transfer agreement, for patents related to active 3D radar imaging technology that are packaged into the HEXWAVE product. The system is designed to provide discrete, modular and scalable protection to provide layered, stand-off detection capability. This is intended to provide a means to proactively counter evolving urban threats. The sensors with active 3D radar imaging and Artificial Intelligence (AI)-enhanced automatic detection are designed to detect metallic and non-metallic firearms, knives, explosives and other threats. Liberty is committed to protecting communities and preserving peace of mind through superior security detection solutions. Learn more: libertydefense.com
For further information contact:
Liberty investor relations:
Telephone: 604-336-9820 x1
When used in this press release, the words “estimate”, “project”, “belief”, “anticipate”, “intend”, “expect”, “plan”, “predict”, “may” or “should” and the negative of these words or such variations thereon or comparable terminology are intended to identify forward-looking statements and information. Although Liberty believes, in light of the experience of their respective officers and directors, current conditions and expected future developments and other factors that have been considered appropriate, that the expectations reflected in the forward-looking statements and information in this press release are reasonable, undue reliance should not be placed on them because the parties can give no assurance that such statements will prove to be correct. The forward-looking statements and information in this press release include, amongst others, information relating to the strategic review process, incluidng finding a strategic partner, raising additional funds or completing a sale of the business. Such statements and information reflect the current view of Liberty. There are risks and uncertainties that may cause actual results to differ materially from those contemplated in those forward-looking statements and information.
By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. There are a number of important factors that could cause Liberty’s actual results to differ materially from those indicated or implied by forward-looking statements and information. Such factors include, among others,: the ability of the Company to find a suitable strategic partner, potential buyer or participants for a financing; currency fluctuations; disruptions or changes in the credit or security markets; results of operation activities and development of projects; project cost overruns or unanticipated costs and expenses; and general developmenty, market and industry conditions.The parties undertake no obligation to comment on analyses, expectations or statements made by third parties in respect of their securities or their respective financial or operating results (as applicable).
Liberty cautions that the foregoing list of material factors is not exhaustive. When relying on Liberty’s forward-looking statements and information to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Liberty has assumed that the material factors referred to in the previous paragraph will not cause such forward-looking statements and information to differ materially from actual results or events. However, the list of these factors is not exhaustive and is subject to change and there can be no assurance that such assumptions will reflect the actual outcome of such items or factors. The forward-looking information contained in this press release represents the expectations of Liberty as of the date of this press release and, accordingly, are subject to change after such date. Liberty does not undertake to update this information at any particular time except as required in accordance with applicable laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.