TORONTO, April 5 /CNW/ - Hosted Data Transaction Solutions Inc. ("HDX") announced today that it completed the previously announced acquisition (the "Acquisition") of A&A Point of Sales Solutions Inc. ("A&A"). HDX is listed on the TSX under the symbol "HDX".
The purchase price was an aggregate of $450,000, subject to certain post-closing adjustments, consisting of $150,000 in cash and 465,120 common shares of HDX, at a price of $0.645 per Common Share (the "Consideration Shares") which will be subject to a 36 month hold period. The cash portion of the transaction was satisfied with cash that HDX had available in its treasury. No financing was required for this transaction and the parties to the transaction are at arms length.
A&A, established in 1993, is a profitable Ottawa based point-of-sale technology company specializing in solutions for the quick service restaurant and fine dining industry. A&A provides systems and services to approximately eight hundred merchants including Compass Group Canada Ltd., Club Links, Aramark, East Side Mario's, Subway, Burger King, KFC, City of Ottawa, Ottawa Hospitals, Lone Star Texas Grill and Wendy's.
"The completion of our acquisition of A&A is another important milestone towards our goal of building a significant organization dedicated to providing business control systems, business intelligence tools and consumer payment systems," says Paul Howell, president and CEO of HDX. "The A&A team is very experienced and well respected in our industry. A&A's wide base of merchants in Ottawa and the surrounding area provides an excellent source of potential customers for HDX's point of sale solutions, payment solutions, business intelligence tools, and enterprise management solutions."
A&A owners' Libo Habets and Steeven Munroe will manage the day to day operation of the A&A organization moving forward.
"This is very positive news for both our client base and our team," says Libo Habets, owner of A&A. "This partnership gives A&A the enterprise management tools that we have wanted to offer to our large client base for quite some time."
"The larger service and support team gives our company the geographical coverage and technical abilities that our customers demand" says Steeven Munroe, owner of A&A. "I am pleased that we will be able to continue to offer great after-hours support with a larger team which is good news for our hard working team members."
About the Company
HDX is in the business of managing merchant transactions with consumers and facilitating payment. HDX develops and deploys touch screen POS system software and associated enterprise management tools and has developed and deployed numerous POS applications. HDX also provides system hardware integration services, merchant staff training, system installation services, and post sale software and hardware support services.
HDX leading edge technology also includes prepaid stored value payments solutions, customer self serve kiosks and "line buster" mobile point of sale terminals. These products have been designed to dramatically enhance customer throughput and drastically reduce customer queues. These technologies are especially effective in high foot traffic environments that have limited cash register counter space, limited retail square footage, and the absence of a drive through.
This discussion includes certain forward-looking statements that are based upon current expectations, which involve risks and uncertainties associated with our business and the environment in which the business operates. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking, including those identified by the expressions "anticipate", "believe", "plan", "estimate", "expect", "intend", and similar expressions to the extent they relate to the Company or its management. The forward-looking statements are not historical facts, but reflect HDX's current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations, including the matters discussed under "Risks and Uncertainties" in the Annual Information Form filed on March 31st 2010 with the regulatory authorities. HDX assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements.
SOURCE HOSTED DATA TRANSACTION SOLUTIONS INC.
For further information: For further information: Paul Howell, President, CEO, Hosted Data Transaction Solutions Inc. (HDX), 350 Bay Street, Suite 700, Toronto, Ontario, M5H 2S6, Phone: (416) 703-6462, extension 2263, Email: Paul.Howell@hdxsolutions.com