- Openn Negotiation (OPN), through its US subsidiary, has been selected by REACH Canada Accelerator to participate in the REACH Canada 2022 Program
- REACH Canada is a Second Century Ventures company, an early stage real estate technology venture capital fund
- In exchange for participation in the program, Openn will pay REACH and its affiliates a US$250,000 (A$341,800) programme fee in instalments
- Openn has also entered into a binding side letter with REACH under which REACH affiliates will make an equity investment in Openn
- Shares in OPN are trading steady at 18 cents
Through its US subsidiary, Openn Negotiation (OPN) has been selected by REACH Canada Accelerator to participate in the REACH Canada 2022 Program.
REACH Canada is a Second Century Ventures company, an early stage real estate technology venture capital fund backed by the National Association of REALTORS.
REACH Canada managing partner Lynette Keyowski said she believes Openn has demonstrated potential and has significant opportunity to innovate and grow further.
“The achievement of greater transparency and efficiency in a real estate transaction, through a single platform, is optimal for all parties and aligns directly with our objectives to enhance consumers’ experience via the real estate community,” she said.
“We are looking forward to working with Openn to help them achieve their goals and execute on their vision in this market.”
In order to participate in the Accelerator Program, Openn USA has agreed to a participation agreement with REACH Canada.
Representatives from Openn USA will take part in an eight-month programme that focuses on revenue growth, strategy planning, finance, and network/strategic connection building.
The curriculum is a series of events that give mentoring, networking opportunities, and exposure to the global real estate industry.
In exchange for participation in the program, Openn will pay REACH and its affiliates a US$250,000 (A$341,800) fee in instalments, with US$100,000 (A$136,700) payed up front and the remainder due in monthly instalments of US$50,000 (A$68,300) each.
Openn has also entered into a binding side letter with REACH under which REACH affiliates will make an equity investment in Openn by subscribing for 2,060,157 fully-paid ordinary shares in OPN at an issue price of A$0.20 cents each.
The subscription represents a US$300,000 (A$410,000) investment.
Openn Managing Director Peter Gibbons said Openn is the first company to be invited into multiple REACH programs internationally.
“The North American market is extremely important to us and being able to work with the REACH team and their extensive network underpins our market entry and tailored value proposition to maximise market acceptance and growth.
“As we have found through our experience of partnering with REACH Australia, participation in the REACH Canada program will deliver unparalleled opportunities and access to new markets and partnerships.”
Shares in OPN were trading steady at 18 cents at 1:51 pm AEDT.