GoldSpot Discoveries to acquire geoscience software company

GoldSpot Discoveries Corp. [TSXV-SPOT; OTCQX-SPOFF], a leading technology services company leveraging machine learning to transform the mineral discovery process, earlier announced it has entered into a definitive agreement to acquire Geotic Inc. a provider of mining industry software including applications for geological and geophysical modeling, based in Val-d’Or, Québec.

Founded in 2002, Geotic operates a portfolio of five cutting-edge tools; GeoticMine, GeoticLog, GeoticGraph, GeoticCAD and GeoticField, as well as a modular core camera hardware system. From drilling data collection to 3D modelling, Geotic offers an integrated software solution to hundreds of global junior mineral explorers and senior producers with cost effective data analytics and an unmatched focus on quality and ease of use over traditional manual data collection methods.

“This acquisition solidifies our commitment to acquire licensable software products and build robust and recurring revenue streams,” said Denis Laviolette, Executive Chairman and President of GoldSpot. “Geotic has generated incredible momentum over the last few years and we are thrilled to add their portfolio to the GoldSpot family. The acquisition will significantly add to our ARR and annual revenue as we scale these products to our growing client base and the global mining community.”

Geotic’s software includes GeoticLog, its customizable core-logging platform, GeoticMine, its 3D geological modeling and visualization solution, GeoticGraph, its drill-hole visualizer, GeoticCAD, a cost-effective alternative to common industry tools with an integrated drawing motor and GeoticField, its field-based survey data-entry platform. Geotic also offers a unique drill core photography hardware device which allows for linearized drill photography to be uploaded into the Geotic software suite.

Under the terms of the purchase agreement, the sellers will receive Cdn$1,000,000 in cash and 1,442,308 common shares of the Company at a price of Cdn$1.04 per GoldSpot Share, representing an agreed aggregate deemed purchase price for the acquisition of Cdn$2,500,000. According to the agreement, the GoldSpot Shares will be placed in voluntary lock-up and will be released pursuant to a nine-month lock-up schedule. The acquisition is expected to close before October 31, 2021 and remains subject to the approval of the TSX Venture Exchange.