TORONTO, Dec. 10, 2013 /CNW/ - Posera - HDX Limited ("Posera - HDX" or the "Company") is pleased to announce the completion of its acquisition of all the issued and outstanding shares of Zomaron Inc. ("Zomaron").
"The completion of this transaction is a very significant milestone for our Company" commented Paul Howell, CEO of Posera-HDX. Zomaron's successful and professional team and their complete line of payment processing product offerings are highly complementary to our existing suite of hospitality industry software solutions and services."
Founded in 2008, Zomaron provides credit and debit card processing solutions to Canadian merchants nationwide. Based in London, Ontario, Zomaron has offices in Edmonton AB, Toronto ON, and Montreal QC. Through its nation-wide network of sales representatives and strategic partnerships, Zomaron has experienced rapid growth, doubling its sales annually. Zomaron's exponential growth led it to be ranked on PROFIT magazine's 13th and 14th annual PROFIT HOT 50 issues in October 2012 and 2013 respectively. Zomaron's solutions and services can also be marketed and deployed in the United States.
The combined Company's national sales force of over one hundred and sixty agents and direct sales representatives will now be able to offer a much wider range of products and services to new and existing merchants. Point of sale solutions, ATM's, digital video surveillance solutions, web based restaurant enterprise management solutions, web based employee labour scheduling solutions, as well as payment processing solutions will allow the national sales team to provide merchants with a single point of contact for deployment and support of their in-house transaction technology requirements.
Tarique Al-Ansari, President of Zomaron commented, "Our team is very excited to join Posera-HDX and bring our vast selection of payment processing solutions to HDX's clients. The synergies are apparent as HDX, a leader in the restaurant & hospitality industry; combined with our expertise forms a team that will accelerate the growth we've experienced over the past couple of years."
Electronic payment processing technologies are evolving rapidly. The increasing requirement for secure digital payment options that protect shoppers, merchants, and banks from fraudulent activity is creating significant market disruption which provides increased business opportunities for Posera-HDX's solutions and services. For example, EMV Chip and PIN technology, as required in Canada, has not been a payment processing requirement in the United States to date. However in March 2012 Visa, MasterCard, American Express, and Discover announced their migration plans to EMV for the United States. The liability for fraudulent credit card transactions will shift from the credit card company to the merchant on October 2015 necessitating solution upgrades and / or entire system changes at millions of merchant locations throughout the United States. All of Posera-HDX's solutions have been EMV chip and PIN enabled and certified since 2012.
A further competitive advantage for the company is the fact that Posera-HDX is able to bundle its solutions and offer financing and leasing for combinations of its products. This creates very attractive and affordable business transaction management packages for merchants for over long term contracts.
The total purchase price paid for the Zomaron acquisition was $3.0 million. The purchase price was satisfied through the issuance of 4,000,000 common shares of the Company and the payment of $1.8 million in cash. The common shares being issued pursuant to the acquisition of Zomaron have been conditionally approved for listing on the Toronto Stock Exchange.
Additional information on Posera- HDX is available in the financial reports filed by the Company with SEDAR at www.sedar.com and posted to the Investor Relations section of the Company's website at www.hdxsolutions.com.
About the Company
Posera-HDX is in the business of managing merchant transactions with consumers and facilitating payment. The Company develops and deploys touch screen POS system software and associated enterprise management tools and has developed and deployed numerous POS applications. Posera-HDX also provides system hardware integration services, merchant staff training, system installation services, and post sale software and hardware support services.
Posera-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.
Posera-HDX Limited develops, deploys, and supports a restaurant point-of-sale and enterprise management software known as "Maitre'D" which has been deployed in over 20,000 locations worldwide in eight different languages. The Company sells and services its clients directly, as well as through a network of approximately 96 value added reseller partners in 25 countries with approximately 550 representatives selling, supporting & installing its software. Posera-HDX employs approximately 135 people in offices in Toronto, London, Brantford, Mississauga, Seattle, Montreal, Glasgow (U.K.) and Paris (France).
This press release 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 Posera-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 28th, 2013 with the regulatory authorities. Posera-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.
For further information:
Chief Executive Officer
Posera-HDX Limited (HDX)
350 Bay Street, Suite 700
Toronto, Ontario M5H 2S6
(416) 703-6462 ext. 2263