GTY Technology Holdings Inc. (Nasdaq: GTYH) (“GTY”), a leading vertical
SaaS/Cloud solution for the public sector, today announced that it has
entered into definitive agreements to sell 3,500,000 shares of its
common stock to certain institutional investors in a registered direct
offering at a price of $7.70 per share, resulting in gross proceeds of
$26,950,000. The offering is expected to close on or about June 7, 2019.
“We are very pleased with the results of this offering,” said Stephen
Rohleder, Chairman and CEO of GTY. “The capital we are receiving from
these investors strengthens GTY’s balance sheet and gives us significant
runway for expansion. The proceeds will help GTY allocate additional
capital to projects we view as having the highest internal rate of
return. With the help of our Head of Sales, John Albanese, we will look
to scale our salesforce at each of the business units and invest in
driving our joint partnership initiatives. Absent a significant
acquisition, this offering also gives us additional firepower to pursue
accretive, tuck-in M&A opportunities in both current business unit
operating segments and adjacencies.”
The common stock in the registered direct offering is being offered and
sold by GTY pursuant to its registration statement on Form S-1 (File No.
333-229926) (the “registration statement”) filed with the Securities
Exchange Commission (the “SEC”). The final prospectus relating to the
offering will be filed with the SEC. Copies of the final prospectus may
be obtained, when available, on the SEC’s website at http://www.sec.gov.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy nor shall there be any sale of our
securities in any state or jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such state or
jurisdiction.
About GTY Technology Holdings Inc.
GTY Technology Holdings Inc. is a leading public sector SaaS company
which offers a cloud-based suite of solutions for North American state
and local governments. For more information, please visit www.gtytechnology.com.
The following is a brief description of each of GTY’s Business Units.
About Bonfire
Bonfire,
a leader in strategic sourcing and procurement technology, empowers
organizations to make the right purchasing decisions. With tools to
support the entire vendor lifecycle (sourcing, contract management, and
vendor performance), Bonfire goes beyond traditional mechanics to make
complex decision making easy. Bonfire works the way you do on a single
cloud platform designed to unite stakeholders, absorb compliance
requirements, and facilitate advanced evaluation techniques. The
combination of flexible technology with world-class customer service
makes Bonfire the solution of choice for both public and private sector
organizations of all sizes around the globe. Bonfire was named as a 2018
Gartner Cool Vendor and proudly reports a client retention rate greater
than 96 percent.
About CityBase
CityBase
gives people and businesses an intuitive way to interact with utilities
and government agencies. CityBase’s technology dramatically improves
constituent services through payment solutions, digital services and API
development for cities, states and utilities.
About eCivis
Since 2000, eCivis
has been the most trusted and widely used SaaS grant management system
by state, local and tribal governments. eCivis helps thousands of
government agencies maximize their grant revenues, track their financial
and program performance, prepare cost allocation plans and budgets, and
access free open data tools to make sense of Federal data.
About Open Counter
Open
Counter builds user-friendly software to guide applicants through
complex permitting and licensing procedures, guiding applicants through
the process by estimating the total fees and requirements for the
project, and allowing applicants to apply and pay for permits online.
About Questica
Questica’s
budget preparation and management software suite – Questica Budget –
Integrates with more than 25 financial systems and other systems. This
ensures organizations can access all the information they need to
develop, track, monitor and adjust their budgets, plus report out to
stakeholders when and to who they need to. Questica Budget Suite’s
Operating, Salary, Capital and Performance modules ensure public sector
organizations have a clear view into their budgets, forecasts and
expenditures, thus enabling those organizations to deliver on their
financial and non-financial strategic objectives. Additionally,
Questica’s easy-to-use OpenBook transparency and data visualization
software can be used to share an organization’s financial and
non-financial information with both its internal and external
stakeholders.
About Sherpa
Sherpa
is a provider of public sector budgeting software and consulting
services. Sherpa’s highly-configurable software enables rapid and
collaborative implementations. Clients have benefitted from a unique
deployment model, staffing projects with consultants averaging 20 years
of experience and having one project team from sales through
implementation to post-implementation support.
Forward-Looking Statements
This press release includes “forward-looking statements” within the
meaning of the “safe harbor” provisions of the Private Securities
Litigation Reform Act of 1995. The company’s actual results may differ
from its expectations, estimates and projections and, consequently, you
should not rely on these forward looking statements as predictions of
future events. Words such as “expect,” “estimate,” “project,” “budget,”
“forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,”
“should,” “believes,” “predicts,” “potential,” “continue,” and similar
expressions are intended to identify such forward-looking statements.
These forward-looking statements include, without limitation, the
company’s expectations with respect to future performance and
anticipated impacts of the business combination. These forward-looking
statements involve significant risks and uncertainties that could cause
the actual results to differ materially from the expected results. Most
of these factors are outside of the company’s control and are difficult
to predict. Factors that may cause such differences include, but are not
limited to: (1) the ability to recognize the anticipated benefits of
GTY’s recent business combination transaction, which may be affected by,
among other things, competition, the ability of the company to grow and
manage growth profitably and retain its key employees; (2) costs related
to the business combination; (3) the outcome of the New York and
California lawsuits among the company, OpenGov, Inc. and the other
parties thereto; (4) the inability to maintain the listing of the
company’s common stock on The Nasdaq Stock Market; (5) changes in
applicable laws or regulations; (6) the possibility that the company may
be adversely affected by other economic, business, and/or competitive
factors; (7) any government shutdown which impacts the ability of the
company’s customers to purchase its products and services; and (8) other
risks and uncertainties included in the company’s registration statement
on Form S-1 (File No. 333-229926), including those under “Risk Factors”
therein, and in the company’s other filings with the SEC. We caution you
that the foregoing list of factors is not exclusive, and readers should
not place undue reliance upon any forward-looking statements, which
speak only as of the date made. We do not undertake or accept any
obligation or undertaking to release publicly any updates or revisions
to any forward-looking statements to reflect any change in our
expectations or any change in events, conditions or circumstances on
which any such statement is based.
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