Xtract One Technologies Inc (XTRAF)

[Pan_O_War]

MUST READ (from a Facebook page):

***. Friday, August 16th, 2019 ***
UPDATE FROM YESTERDAYS JOHNSON CONTROL
Contributor: Kip Herriage, VRA Newsletter
http://vrainsider.com/

This is a great read and as usual, Kip’s timing for his update call with Martin Cronin was timed very well. Sounds like lots of great things to come out of this partnership.
Read and enjoy!

VRA Update: Patriot One Technologies Update. Call with CEO Martin Cronin.

Aug 15, 2019
Good Thursday afternoon. I spoke with VRA Buy Recommended Patriot One Technologies (PTOTF) CEO Martin Cronin at length today, following this mornings news that Pat 1 has entered into a significant partnership with global leader ($33 billion mkt cap) Johnson Controls (JCI), a Tier 1 Security Integrator. As announced, "JCI will work with PATSCAN engineering teams for security projects with Professional Sports Franchises and a global transportation client.”

(heads up: this is a first copy of this new Pat 1 Update. We’re researching additional info on the co’s AI strategy/innovations/partnerships and info on the significance of this deal with JCI. To give you an idea of what I’m talking about, spend a few minutes on this JCI web site: https://www.johnsoncontrols.com/insights).

Here are the cliff notes from my call with Martin:

Martin: "we have been working with Johnson Controls (JCI) for a long time, with many product demonstrations...it took over 1 year for this to be completed.”

- "There are many other deals like this we have been working on for 6 months to a year that will soon come to fruition".

- "Right now, we are in active discussions with the biggest names in corporate America. There is not a single name you haven't heard of, everyone knows these names.”

"We do not believe in leaks. We keep our news flow very private, we do not believe in telling some people before others. You are the first analyst to speak with me following the news….Kip, you really have impeccable timing, setting up this call for today.”

"There are many other substantive deals like JCI. We want everyone to find out at the same time."

And I found this most interesting….Understanding how the co’s partnerships with IBM, Cisco and now JCI came to pass:

“The JCI deal is a tremendous development because of their engineering expertise, as the leader in global security. These deals began when IBM found us (Patriot One). IBM approached us. IBM then introduced us to Cisco. Cisco then introduced us to JCI. Cisco has been a huge help with all of these introductions, and we should soon have another deal coming with a big American company. Cisco has been the door opener for just about all of it."

"Cisco moves very quickly and they have brought our entire network of contacts together. Next up you will see specifics about North American and international sales, with partner JCI."

Martin went on to say, “if all goes as planned, investors may be pleased in October, when Patriot One presents at the Internation Association of Chiefs of Police (IACP) conference. "I can't say more now, but important things are happening. The October conference is going to be really big, as we move forward with our integration with Law enforcement."

He must have said this 3 times, “we have substantive deals that we’ve been working on in the pipeline for 6 months to a year, discussions with the biggest names in corporate America".

"JCI has helped connect Patriot One with the MAJOR sports Franchises. We are in active conversation with sports franchises throughout north America. Just take a look at JCI's client base.”

- Here is a quote from the JCI website on Stadiums.. does it sound like their vision aligns with Patriot One? - "No matter the sport, connecting with the event means happy, safe and comfortable fans. Johnson Controls helps stadium operators connect technology to boost fan experience and increase the bottom line".

What else should people be focused on that maybe they aren't right now?

- "I don't think people truly understand what we are doing with AI and with our Xtract partnership. This is something that Cisco marked as urgent for us. We are connecting so many different data points that we have to have advanced AI. So, going forward, while the markets have not fully understood the AI piece of what we do, they will soon. Cisco has been a big driver of our AI overlay so that Patriot One has the Global Gold Standard in AI.

I asked Martin how the co’s cash position is...

- "We have $50 million in cash right now, no need for additional funds. We also have another $70 million that would be raised by the exercise of warrants." Assuming the warrants are exercised, they will have $120M in cash and no need for additional funding.

Finally, I asked him about full listing on the NASDAQ and what the timing looks like?

- "I can't tell you an exact date at this time, we still have a few things we want to complete first, but we do have a number of US financial institutions that have approached us about this. We are headed in that direction.”

VRA Bottom Line: Pat 1 must be owned here aggressively. We continue to believe this is a $10 + stock and one of the best growth stocks/story stocks I have found in my career. The question I’ve gotten the most today is “why hasn’t the stock price gone up more on this JCI deal?” In my view, its because the company is a Canadian penny stock and it remains widely unknown by US institutional investors. That’s about to change. Buy Pat 1 now...why you can still buy it cheaply.

Until next time, thanks again for reading…we’ll have more on Pat 1 “soon”.

Kip