TORONTO, Jan. 17 /CNW/ - Hosted Data Transaction Solutions Inc. ("HDX")
announced today that it completed the previously announced acquisition (the
"Acquisition") of Biz-Pro Ltd. ("Biz-Pro").
The purchase price was an aggregate of $3 million, subject to certain
post-closing adjustments, consisting of $2 million in cash and $1 million in
common shares of HDX, at a price of $1.00 per Common Share for a total of
1,000,000 Common Shares (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.
HDX (formerly Dexit Inc.) is listed on the TSX under the symbol HDX.
Biz-Pro, established in 1975, is a profitable London based point-of-sale
technology company with annual revenue of approximately $3.2 Million. HDX
recently announced the acquisition of Howell Data Systems QSR and Sabrepoint
Inc. The historical annual revenue of these companies combined with Biz-Pro
Ltd. is approximately $10 million.
Specializing in solutions for the hospitality industry, Biz-Pro has
fourteen employees and has deployed over twenty thousand systems across
Canada. Biz-Pro provides services to thousands of customers including Compass
Group Canada, Sodexho, Brown's Fine Foods, Mary Brown's Fried Chicken, and
"The completion of our acquisition of Biz-Pro is an 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. "Jim and Kathy Jearvis
have built a formidable company. Several Biz-Pro team members have over
fifteen years of experience. Biz-Pro has been a leader in the Canadian point
of sale industry for over thirty years and our corporate philosophies towards
providing quality products and excellent customer service are closely
"These are exciting times for the Biz-Pro team," says Jim Jearvis,
President of Biz-Pro. "The added features and benefits of the HDX product line
will enhance our sales efforts and give us an opportunity to better serve our
customer base. The larger combined company provides the extra team resources
required to develop advanced technology and the ability to service customers
in a wide geographic area."
Jim Jearvis and Chris Jearvis, VP of Operations will manage the day to
day operation of the Biz-Pro organization moving forward.
"This is very positive news for both our client base and our team," says
Chris Jearvis, VP of Operations. "This partnership gives Biz Pro the
enterprise management tools that we have wanted to offer to our large client
base for quite some time."
About the Company
HDX is in the business of managing merchant transactions with consumers
and facilitating payment. HDX develops and deploys touch screen POS (point of
sale) 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.
Leading edge technology also includes 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.
HDX pioneered an "instead of cash"(R) electronic based payment
facilitation service. The Dexit(R) Service can be private branded for a
specific merchant and enables customers to pay for items quickly and
conveniently with the tap of a RFID (radio frequency identification) tag
linked to a pre-paid account. This Dexit Service payment solution is
especially well suited for corporate and institutional cafeteria environments
where hundreds of customers purchase and pay for meals in compressed periods
throughout the business day.
(R) Registered trade-mark of Hosted Data Transaction Solutions Inc.
To find out more about Hosted Data Transaction Solutions Inc., visit our
website at www.dexit.com.
To find out more about Biz-Pro, visit Biz-Pro's website at
For further information:
For further information: Paul Howell, President, CEO, Hosted Data
Transaction Solutions Inc., (416) 703-6462, extension 263