Hello Chris and welcome back! Thank you for joining us today for another interview! It has been about six months since we last sat down for an interview, and since then, Universal PropTech (TSX-V: UPI) has undergone tremendous growth! We’re eager to catch up and go over the company’s recent developments and share questions we’ve received from investors!
Equity Insight: Universal PropTech has been busy adding new products to its arsenal through a variety of partnerships such as Air Sniper to best serve the needs of your customers. What are things the company looks for when onboarding a new partner or new technological solutions?
Mr. Hazelton: We are a strategic integrator of healthy building solutions and our success is attributed in our ability in acquiring new technologies and active due diligence from our experienced and knowledge technical specialist within the company. Together we are able to spot the growing needs to our customers in an ever-changing landscape
Equity Insight: UPI recently added a dealer network of approximately 2,400 members for the sale and distribution of indoor air quality products from Air Sniper. What is the strategy behind this new partnership and how will this benefit UPI?
Mr. Hazelton: Our current resources operate from Ontario to the east coast, and this new relationship with 2400 dealers will enable us to not only generate revenues from across Canada, but also allows us to generate additional market opportunities to scale our footprint.
Equity Insight: Recently Universal PropTech has added new members to its advisory board including Ms. Elizabeth McDonald, Mr. Dwayne Matthews and trader extraordinaire Mr. Dave Berry. Is there something specific the company saw in each advisor that would make them a perfect addition to the team, and if so, what would that be?
Mr. Hazelton: Individually, our advisors provide great insights, relationships, and experiences into areas we’re venturing further into, and we’re leveraging their experience to roll out new technologies targeting the various sectors and industries including the educational sector.
Equity Insight: The company has announced it currently has a backlog of $5.2 Million which grew 30% from the beginning of the year which continues to grow. Do you expect the sales backlog continues to grow throughout the second half of 2021? In addition, is the company seeing any increased demand in a specific area.
Mr. Hazelton: The pandemic slowed down the booking and execution of project work. However, we are already seeing signs of increases in project revenues going forward, however we are working diligently to secure more than our fair share of projects that were held back by prospects during the pandemic.
Equity Insight: A big congratulations to you and the team on becoming debt free, as Universal PropTech is one of the very few stocks who have no debt on its books, and finding companies that have no debt is a rarity. What does being debt free mean for the company and its shareholders?
Mr. Hazelton: Thank you. I believe it gives us a plethora of options, and we are not in a position where we need to raise capital to pay interest on borrowed funds, which many companies do. Although to grow our business as planned in 2021, additional capital may be required to fund our growth plans.
Equity Insight: On that note, in order to build accretive shareholder value a company does have to raise capital or incur debt to expand its business. That being said, are there any plans to raise capital anytime soon, and how does the company plan to finance its planned growth?
Mr. Hazelton: Currently, we do not have any plans to raise capital. However, should an opportunity arise that would be accretive to the business, we may look at alternative financing options such as lines of credit to minimize shareholder dilution.
Equity Insight: You previously made an announcement that you bought shares on the open market. What compelled you to buy and why not exercise options which are cheaper? Could we expect more purchases in the future?
Mr. Hazelton: I believe in the company, and I believe in our plan.
Equity Insight: Investors are extremely eager to hear more information on Spotlight-19. Any update on ISBRG?
Mr. Hazelton: The investment in ISBRG remains a very exciting opportunity as initially contemplated and, in my opinion, this is one of the most exciting opportunities in my career.
Equity Insight: Before we conclude this interview, is there anything you would like to tell shareholders of Universal PropTech or potential investors looking to invest in UPI?
Mr. Hazelton: I am very proud of what we have accomplished in the first half of calendar 2021, and we have exciting growth plans for the second half. We are continuing to build an ecosystem of healthy building solutions and services, and I’m not taking my foot off the pedal for a moment. Our staff, customers and shareholders deserve nothing less!
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