TORONTO, Nov. 14 /CNW/ - Hosted Data Transaction Solutions Inc. ("HDX")
announced today that it has signed a letter of intent to acquire Sabrepoint
Inc. and Sabrepoint Services Inc. ("Sabrepoint") for $1,250,000 subject to
closing adjustments. The purchase price will be satisfied by the payment of
$850,000 in cash and by the issuance of 400,000 HDX common shares. The cash
portion of the transaction shall be satisfied with cash that HDX has available
in its treasury. No financing is required for this transaction.
HDX (formerly Dexit Inc.) is listed on the TSX under the symbol HDX.
Sabrepoint, established in 1992, is a profitable Mississauga based
point-of-sale technology company with annual revenue of approximately $2.5
Million. Specializing in solutions for the quick service restaurant and fine
dining industry, Sabrepoint has fifteen employees and provides systems and
services to hundreds of customers including Tim Hortons, Copps Coliseum,
Sodexho, and Tony Romas.
"We are very pleased to announce the agreement with Sabrepoint," says
Paul Howell, president and CEO of HDX. "There are many great synergies and
efficiencies that will be realized by merging our teams. For example, HDX has
service technicians in cities where Sabrepoint does not and Sabrepoint has
technicians in cities where HDX does not. Merging our software support teams
will enhance and expand our customer support offering which will increase and
protect merchant satisfaction. Sabrepoint's wide base of merchants also
provides an excellent source of potential customers for HDX's Dexit Payment
Solution, Cashier Intelligence solutions and Enterprise Management and
"The opportunity to join HDX is an exciting development for Sabrepoint,"
commented Rad Bazzul, founder and president of Sabrepoint. "The ability to
pool our resources and capitalize on the strengths of the combined team will
result in a more complete product and service offering for our customers."
The transaction is expected to close on December 15th 2007 and is subject
to completion of due diligence by HDX, customary closing conditions, receipt
of all necessary regulatory approvals and the negotiation and execution of a
definitive purchase and sale agreement.
About the Company
Hosted Data Transaction Solutions Inc. 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
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(R) 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.
To find out more about Hosted Data Transaction Solutions Inc., visit our
website at www.dexit.com.
To find out more about Sabrepoint, visit Sabrepoint's website at
For further information:
For further information: Paul Howell, President/CEO, Hosted Data
Transaction Solutions Inc., (416) 703-6462, extension 263