Gopher Protocol Inc (OTCMKTS: GOPH) bills itself as a Native IoT creator, developing Internet of Things (IoT) and Artificial Intelligence enabled mobile technology. We have recently discussed the company’s portfolio of Intellectual Property.
It is the company’s ongoing intent to expand its roster of holdings, and it is that subject that we will look at today, as GOPH revealed some recent transactions to shareholders.
Gopher Protocol Inc (OTCMKTS: GOPH) kicked the week off by announcing that it, effective April 2, 2018, acquired certain assets from Electronic Check Services Inc. (ECS) and from Central State Legal Inc. (CSL)
ECS started ECS Prepaid fueled by the desire to create a Prepaid Wireless distribution model built to cater to Independent Sales Organizations servicing the gas station, and convenience store market. ECS Prepaid is a two time “INC 500 Fastest Growing Companies” in the US, with a high ranking of 64th.
The ECS Prepaid software platform provides the ability to bring a variety of services to even the smallest retailer. Products currently available include: Prepaid Wireless, SIM Activations, International Top Up, Private Label Gift Cards, Electronic Check Processing, Customer Loyalty and Rewards programs.
The acquisition centered around a proprietary software that validates written check authenticity in real-time, scores risk associated with the acceptance of a check, and generates an automated response and follow up when a check is returned unpaid. By using this system, less than 2% of roughly 50,000 checks processed monthly have been returned unpaid. Utilizing the automated follow up, 70% of that 2% fraction of checks were collected within the first 90 days.
CSL was developed to work with merchants and ECS to recover funds from returned checks. CSL also acts as a second layer in the “bad check” recovery process. ECS attempts recovery during the first 90 days following the return. After 90 days, CSL takes over the recovery process. CSL has been able to recover funds on approximately 55% of all returned checks within 90 days of taking over the delinquent account.
These assets acquisition is a complementary assets acquired from ECS Prepaid LLC. The core asset of ECS is its processing software program, which Gopher intends to combine into the prior acquisition of the UGO HUB and the UGO brand of products.
ECS PrePaid’s core operating system currently operates over 9,000 terminals in retail locations throughout the United States. These terminals process over 14,000 transactions a day and have capacity to manage at least three times its current volume, without further software expense. This platform generated approximately $32 million in revenue for the year ended December 31, 2017 (unaudited), approximately $4.2 million for the month of January 2018 (unaudited) and approximately $4.3 for the month of February 2018 (unaudited).
“We believe these acquisitions will uniquely position Gopher to establish our mesh network and connect with consumers. This integration of technologies, may establish a platform that can provide solutions that aren’t currently available from a single provider. I still need some additional tools under my belt to present a comprehensive proprietary product, but we continue to strive toward this goal” stated Gopher CEO Greg Bauer. (Source: Globe Newswire)
In terms of the chart, we recently followed GOPH over the course of an impressive month-long surge in PPS and liquidity, and despite pulling back off of recent highs, the stock has maintained a majority portion of the ground it gained. We’ll be interested to continue tracking its movements. Stay locked to Street Register for updates, and we’ll deliver important developments on GOPH as they unfold. In the meantime, if you’ve yet to sign up for our 100% free newsletter, do so now! Just enter your active email address into the box below and submit!
Disclosure: No one at Street Register has been compensated in any way for the publishing of this article, nor do we hold any position in GOPH stock, short or long.