Quantum eMotion Retains Red Cloud Financial Services

Rhea-AI Summary

Quantum eMotion (TSXV: QNC, OTCQB: QNCCF) has retained Red Cloud Securities to provide market-making services, subject to regulatory approval. Red Cloud will help maintain a reasonable market and improve liquidity for QeM's common shares on the TSX Venture Exchange. The agreement includes a monthly fee of $5,000, paid quarterly in advance for the first three months, and monthly thereafter. There are no performance factors, and the term is ongoing with a 30-day termination notice. Red Cloud and its clients may hold interests in QeM's securities.

Positive

• Quantum eMotion has engaged Red Cloud Securities to improve market liquidity.
• The agreement with Red Cloud has no performance factors or share/options compensation, reducing potential conflicts of interest.
• The fixed monthly fee of $5,000 is predictable and manageable.

Negative

• There is a continuous financial obligation of $5,000 per month.
• The market-making services are subject to regulatory approval, which introduces uncertainty.
• Red Cloud or its clients may have interests in QeM's securities, posing potential conflicts of interest.

Montreal, Quebec--(Newsfile Corp. - June 6, 2024) - Quantum eMotion Corp. (TSXV: QNC) (OTCQB: QNCCF) ("QeM" or the "Corporation"), announces that, subject to regulatory approval, it has retained Red Cloud Securities Inc. ("Red Cloud") to provide market-making services to the Corporation in compliance with the policies and guidelines of the TSX Venture Exchange ("TSX-V") and other applicable legislation.

Red Cloud is a Toronto-based financial services company that listed companies with accessing capital markets and enhancing their corporate profile.

Red Cloud will trade common shares of QeM on the TSX-V for the purposes of maintaining a reasonable market and improving the liquidity of the Corporation's common shares.

Under the agreement, the Corporation will pay Red Cloud $5,000 per month during the term, payable quarterly upfront in advance for the first 3 months and thereafter monthly. There are no performance factors contained in the agreement between Red Cloud and the Corporation and Red Cloud will not receive any shares or options from the Corporation as compensation for services it will render. The term of engagement is ongoing and may be terminated by either party on 30 days' prior written notice.

The Corporation and Red Cloud have an arm's length relationship, but Red Cloud and/or its clients may have an interest, directly or indirectly, in the securities of QeM.

About QeM

The Company's mission is to address the growing demand for affordable hardware and software security for connected devices. QeM has become a pioneering force in classical and quantum cybersecurity solutions thanks to its patented Quantum Random Number Generator, a security solution that exploits the built-in unpredictability of quantum mechanics and promises to provide enhanced protection for high-value assets and critical systems.

The Company intends to target highly valued Financial Services, Healthcare, Blockchain Applications, Cloud-Based IT Security Infrastructure, Classified Government Networks and Communication Systems, Secure Device Keying (IOT, Automotive, Consumer Electronics) and Quantum Cryptography.

For further information, please visit our website at https://www.quantumemotion.com/ or contact:

Francis Bellido, Chief Executive Officer
Tel: 514.956.2525
Email: info@quantumemotion.com
Website: www.quantumemotion.com

Neither 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 release.

This press release may contain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to vary materially from targeted results. Such risks and uncertainties include those described in the Corporation's periodic reports including the annual report or in the filings made by Quantum from time to time with securities regulatory authorities.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/212002

FAQ

What is the purpose of Quantum eMotion retaining Red Cloud Securities?

Quantum eMotion has retained Red Cloud Securities to provide market-making services to maintain a reasonable market and improve liquidity of its shares.

What is the cost of Quantum eMotion's agreement with Red Cloud?

Quantum eMotion will pay Red Cloud Securities $5,000 per month, paid quarterly in advance for the first three months, and monthly thereafter.

Are there any performance factors in the agreement between Quantum eMotion and Red Cloud?

No, there are no performance factors in the agreement between Quantum eMotion and Red Cloud Securities.

Can the agreement between Quantum eMotion and Red Cloud be terminated?

Yes, the agreement can be terminated by either party with a 30-day prior written notice.

Does Red Cloud have any interest in Quantum eMotion's securities?

Red Cloud and/or its clients may have an interest, directly or indirectly, in the securities of Quantum eMotion.