DSG GLOBAL INC. (OTCMKTS:DSGT) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01 Entry into a Material Definitive Agreement
On October 5, 2020, DSG Global Inc. (“we”, “us”, “our”, the “Company”), through its announced that its subsidiary, Imperium Motor Corp. entered into strategic partnership a Memorandum of Understanding dated September 10, 2020 with Skywell Shenzen Vehicles Co. Ltd. aka Skywell New Energy Automobile Group Co., Ltd. (“Skywell”), a leading manufacturer of electric vehicles in China. to the Memorandum of Understanding, Imperium received the exclusive right, subject to placement of an initial vehicle order and corresponding payment to Skywell, to purchase, homologate, and distribute Skywell’s range of ET5 electric sport utility vehicles in North America and the Caribbean. The Memorandum of Understanding, while stated to be non-binding, provided for the conclusion of a definitive agreement by the parties following the placement of an initial vehicle order by the Company. The definitive agreement was to have a minimum term of 3 years, and renew automatically for successive 3-year terms, subject to the right of each party to terminate the agreement by giving 30 days’ notice prior to renewal.
Effective February 9, 2021, the Company entered into a definitive OEM Cooperation Agreement with Skywell dated February 5, 2021, which agreement modifies and replaces the Memorandum of Understanding. to the OEM Cooperation Agreement, Skywell has granted to the Company the exclusive right to distribute Skywell’s electric passenger cars, trucks (including but not limited to the ET5 sport utility vehicle), buses and spare parts in the United States and Canada for a 5 year term. In order to maintain the distributions rights accorded by the agreement, the Company must purchase and deliver 1,000 units within the first year of the term, 2,000 units in the second year, 3,000 units in the third year, 4,000 units in the fourth year, and 5,000 units in the fifth and final year of the term. Skywell may terminate the agreement in its distribution with 30 days’ notice if the Company fails to satisfy sales quotas. Product price, terms of payment and logistical matters are subject to the ongoing approval and agreement of the parties from time to time.
Item 9.01 Financial Statements and Exhibits
| 10.1 | OEM Cooperation Agreement with Skywell New Energy Automobile Group Co. Ltd. Dated February 5, 2021. |
DSG Global Inc. Exhibit
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About DSG GLOBAL INC. (OTCMKTS:DSGT)
DSG Global, Inc., formerly Boreal Productions Inc., is a technology development company. The Company is engaged in the design, manufacture and marketing of fleet management solutions for the golf industry, as well as commercial, government and military applications. Its principal activities are the sale and rental of global positioning system (GPS) tracking devices and interfaces for golf vehicles and related support services. The Company offers TAG suite of products, which is sold and installed around the world in golf facilities and as commercial applications. The Company focuses on the golf industry where its TAG system is deployed to help golf course operators manage their fleet of golf carts, turf equipment and utility vehicles. It offers TAG system vehicle control functionality and two golfer information display systems: the alphanumeric TEXT and high definition TOUCH. It operates in various regions, including Canada, United Kingdom and the United States.
