StartMonday shuts down its recruiting platform and plans restructuring of its assets
AMSTERDAM, NL – April 30, 2019 – Smart recruitment technology firm StartMonday Technology Corp. (CSE: JOB) (OTC: STMDF) (FRANKFURT: JOB) (the “Company” or “StartMonday”) announces the scheduled closure of its innovative recruiting platform.
StartMonday grew quickly from an Amsterdam-based startup in 2014 to a reporting issuer in October 2016 and customer successes with Accor hotels, Intercontinental Hotel Group and Uber. Following the initial listing, the Company share price was subject to extreme volatility which had the effect of making it impossible to arrange further equity financing. This inability to finance left the Company short of operating cash and limited prospects for financing. The liquidity issues resulted in the closure of one of its operating subsidiaries in the Netherlands and the loss of key personnel in engineering, sales and marketing.
With a small but loyal customer base, the management team led the Company through a recovery phase in 2017 and in January 2018, the Company won support for an additional blockchain product. The Company closed CDN $3 million in new funding to research and develop Bizzy (formerly Careerchain) while also maintaining the StartMonday recruiting platform for its hospitality and retail customers. Follow-on investment to fund Bizzy’s launch proved difficult to source, however, as interest in blockchain startups faded and regulation around tokens created concern among potential investors.
Recently, as a small cap stock with a declining share price, the Company has been unable to gain enough support to secure vital working capital to continue delivering a stable and professional service to its customers. Management made the difficult decision to shut the platform down to avoid a platform crash that would damage their clients’ employer brands. StartMonday’s video-led recruiting platform will close today, April 30, 2019.
The Company has developed significant intellectual property for the job market with its video-led selection technology, mobile apps and easy-apply blockchain concept - Bizzy. The Company is currently considering all options to restructure the business to restart its recruiting platform and/or launch Bizzy while remaining open to divesting its assets to third parties subject to Board and shareholder approval.
ON BEHALF OF THE BOARD
CEO & Director
About StartMonday (CSE: JOB) (XFRA: JOB) (OTC: STMDF)
StartMonday helps employers select better candidates, faster, with the power of 15-second video introductions. StartMonday's video-led mobile and web applications deliver a better impression of personality and customer skills, ultimately helping employers decide which candidates they should talk to first - making the process much more efficient. The Company is dedicated to building powerful tools for the Mobile Generation and is further developing its technology with an open blockchain solution for sharing career histories called Bizzy (formerly Careerchain). For more information please visit www.startmonday.com.
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