SeeThruEquity Initiates Coverage on 3TL Technologies, Inc. with a Price Target of CDN $0.35

NEW YORK, NY / ACCESSWIRE / August 1, 2016 / SeeThruEquity, the leading independent equity research firm focused on smallcap and microcap public companies, today announced it has issued an update on 3TL Technologies, Inc. (TSXV.V: TTM, OTCQB: TTMZF, “3TL”) with a price target of CDN $0.35.

The report is available here: TTM Update Note.

Based in Vancouver, Canada, 3TL is the developer of Platform3, an innovative Software-as-a-Service (SAAS) platform for consumer engagement, loyalty and rewards programs. Platform3 is a cloud-based digital marketing platform designed to enable consumer packaged goods (CPG) companies and other consumer brands to better to track, engage, and incentivize their customers. Importantly, Platform3 facilitates direct communication between CPG brands and consumers without going through the retailer. The ability to communicate directly with consumers represents a key strategic aim for CPG brands, as it increases consumer loyalty and engagement, while setting the stage for brands to appeal to consumers to purchase directly from them online or through mobile commerce.

Highlights from the report are as follows:

Platform3 appears to be off to a strong start

3TL appears to have had initial success with Platform3 with over 20 new CPG campaigns announced in the first half of 2016, representing more than $0.5mn in bookings – already more than 65% higher than full year 2015 results. The company has achieved this from both improvements made to its purpose-built Platform3 technology, as well as by increasing sales staff and engaging in nine partnerships with advertising agencies focused on the CPG space. 3TL’s customer wins have been impressive, including several well-known brands such as Fandango (an NBC Universal company), Dr. Pepper, Doritos, and Bridgestone. The quality of these partners provides a measure of validation to the company’s claims about its technology and value proposition.

Targeting rapid growth in 2016E-2018E

3TL is targeting a $5mn annualized revenue run rate by the end of 2017E (and $10mn by the end of 2018E); management is in the process of seeking additional growth capital to support this growth with the expansion of its sales team. 3TL has a two-pronged go-to-market strategy, which includes starter subscriptions, with a list price of approximately $25,000, as well as a multi-year subscription with a six-digit rate plus transaction fees. We were impressed by the recent announcement that 3TL had successfully engaged Fandango to a multi-year deal, and we see the rate at which the company is able to convert starter deals into long-term deals as being a key metric to gage success as it moves forward.

Initiate coverage with a price target of CDN $0.35

We see 3TL as a speculative growth company in the technology sector. 3TL offers an intriguing high risk / high potential reward tradeoff as it targets the multi-billion-dollar opportunity to provide the CPG industry with a new SAAS technology platform designed to improve the ways in which consumer brands can engage and communicate with customers directly. We are attracted to 3TL’s high gross margin pricing model, as well as the apparent new customer momentum in 2016 – the company has signed 20 new deals in the first six months of the year including the likes of Dr. Pepper, Doritos, and Fandango. 3TL is forecasting rapid growth, and, if this is achieved, we think there would be considerable upside potential for the company, considering the high valuations prevalent among SAAS companies and the large opportunity for consumer brand advertising solutions. If achieved, the target of CDN $0.35 suggests potential upside of 483.3% from the recent price of CDN $0.06 on July 19, 2016.

Please review important disclosures at www.seethruequity.com.

About 3TL Technologies, Inc.

3TL Technologies Corp. owns 3 Tier Logic and its proprietary Platform3, Software-as-a-Service (SaaS) consumer marketing platform. Platform3 is used by consumer packaged goods (CPG) companies and their marketing agencies to engage shoppers through their mobile devices, to influence their purchasing decisions, to activate mobile and online promotions, to verify proof-of-purchase, and to gather in-depth data about consumer purchase behaviors.

Platform3 encompasses proprietary consumer engagement strategies and technology modules including Digital Promotions, Receipt Scanning and Validation, Rewards and Gamification, Loyalty, Consumer-to-Consumer Sharing, Coupon Distribution, Product Recommendation Engine, Data Capture and Analytics. 3tltechcorp.com.

About SeeThruEquity

Since its founding in 2011, SeeThruEquity has been committed to its core mission: providing impactful, high quality research on underfollowed smallcap and microcap equities. SeeThruEquity has pioneered an innovative business model for equity research that is not paid for and is unbiased. SeeThruEquity is the host of acclaimed investor conferences that are the ultimate event for publicly traded companies with market capitalizations less than $1 billion.

SeeThruEquity is approved to contribute its research reports and estimates to Thomson One Analytics (First Call), the leading estimates platform on Wall Street, as well as Capital IQ and FactSet. SeeThruEquity maintains one of the industry’s most extensive databases of opt-in institutional and high net worth investors. The firm is headquartered in Midtown Manhattan in New York City.

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SOURCE: SeeThruEquity

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