LOS ANGELES, Dec. 30, 2016 (GLOBE NEWSWIRE) — Blow & Drive Interlock Corp. (OTCQB:BDIC) (the “Company”), a preeminent manufacturer and provider in the criminal monitoring space, including the only 100 percent wireless ignition interlock device on the market, is pleased to announce the signing of a material definitive agreement with Quality Service Automobile, LLC (“QSA”), marking the Company’s entrance into the Washington state market. Per the agreement, QSA is given non-exclusive distribution rights to Blow & Drive’s BDI 747 alcohol ignition interlock device across the entire state of Washington for a period of three years. For the distribution rights, QSA has paid a one-time territory fee to Blow & Drive and will further pay a monthly fee on a per-unit basis for every BDI 747 in QSA’s inventory.
Washington is a first-time offender state, with 35,000 DUI arrests annually. All individuals convicted of a driving under the influence offense in the state of Washington are required to have an alcohol ignition interlock installed on their vehicle. The Company’s BDI 747 ignition interlock device is an advanced wireless breath analyzer that requires the driver to blow into a mouthpiece to ensure the driver’s blood alcohol content meets a pre-defined level before the vehicle can be started. The device further provides direct communication with the courts and Driver and Motor Vehicle Services Division, minimizing inconvenience to the offender to meet their compulsory reporting measures.
Separately, The Doheny Group has provided $115,000 in funding to the Company as part of a larger, previously disclosed commitment to fund manufacturing of 2,200 BDI 747 units. The Company currently has 1,600 new units under production and is working with suppliers on sourcing components and resources to increase production by 600 units for delivery within the same 60-day deadline as the 1,600 units. “This completes Phase 2 of the approximately $1 million in financing we announced in October 2016, said Abraham Summers, Chief Financial Officer at Blow & Drive Interlock. “We anticipate having the first units readied in January 2017 and begin booking reoccurring revenue from these units no later than March 2017. This will nearly double the number of BDI 747 units we have on the road from approximately 1,100 to 2,100 machines.”
“With approximately 35,000 DUI arrests in Washington during 2015, we see a significant market opportunity, while working to assist with public safety,” commented Laurence Wainer, Chief Executive Officer at Blow & Driver Interlock. “Underscored by stricter regulations and the technological advancements in our BDI 747s, demand is exceeding our expectations as we strategically expand into additional states. We are fortunate to have The Doheny Group as a long-term institutional investor to support our growth with non-dilutive funding to meet growing demand as we execute scaling our business nationwide.”
Blow & Drive Interlock has been experiencing explosive growth over the last couple of financials quarters. The Company just relocated its corporate headquarters to a new facility in Los Angeles, CA that is more than double the size of its previous facility. The previous quarterly financial statement showed quarter over quarter revenue growth over 50% and gross profit increasing, quarter over quarter, by approximately 60%. The Company has been steadily executing on the plan to quadruple its own marketshare from less than a year ago by this coming summer. Once the Company completes the production and deployment of these 1,600 units the Company believes its reoccurring revenue and assets will meet requirements to move its listing up to the QX marketplace or NASDAQ exchange based on revenue and asset requirements.
CONTACT: Blow and Drive Interlock Corporation 1080 S. La Cienega Blvd Suite 304 Los Angeles, California 90035 (877) 238-4492 http://www.blowanddrive.com/
Source: Nasdaq Automotive News