BSM Technologies Inc.
TSX VENTURE : GPS

BSM Technologies Inc.

December 27, 2007 08:00 ET

BSM Technologies Closes Acquisition of Netistix Technologies

BSM Wireless automatic vehicle security and location solutions and Netistix Technologies FleetPulse® vehicle diagnostic and fuel consumption solutions create the world's most comprehensive Fleet Management Product Suite

WOODBRIDGE, ONTARIO--(Marketwire - Dec. 27, 2007) - BSM Technologies Inc. ("BSM" or the "Company") (TSX VENTURE:GPS), a leading provider of high security vehicle tracking and surveillance solutions, is pleased to announce that on December 24, 2007 it completed the acquisition of Netistix Technologies Corporation ("Netistix").

Netistix, the developer of FleetPulse®, a Wireless Fleet Management System, provides fleet managers with timely and actionable program management and decision-support information. This key information is based on data derived from the vehicle engine control modules (ECMs) via OBD II and J1708 and J1939 standards connectivity, PTO monitoring and GPS tracking to deliver vehicle usage, diagnostic codes, patented fuel consumption data and other fleet operations information.

Under the terms of the acquisition, which was first announced on October 30, 2007, BSM acquired 100% of the outstanding Netistix shares in consideration for the issuance of 7,142,857 common shares of BSM priced at $0.14 per share, subject to certain adjustments. One half of the share consideration was issued on closing and the balance is subject to a voluntary escrow. The BSM securities issued will be restricted from trading until April 25, 2008.

The acquisition will position BSM as the provider of the world's most comprehensive and advanced Fleet Management Product Suite on the market. BSM and Netistix have developed their solutions around a common design structure, enabling quick and seamless integration of the two companies' product suites. BSM and Netistix customers will be able to access a wide variety of new capabilities almost immediately. This includes:

Compatibility with Light and Heavy Duty Vehicle Models

Multiple Wireless Communication Options for Reliable Connectivity and Effective Cost Control

Customizable Reports and Report Delivery Options

Extensive Third-Party Support for fuel tax claim support, dispatch systems, handheld applications and more.

The integration of the two companies will result in a negligible increase in operating costs.

"We are pleased to have concluded the acquisition of Netistix Technologies. Together with our earlier acquisition of SecTrack, this positions BSM among the world leaders in Fleet Management Product Suites," stated Mr. Nick Cirella, Chief Executive Officer of BSM. "The integration of BSM and Netistix will increase the company's revenue streams while there will be only a negligible increase in operating costs. Even during the lead up to the conclusion of this acquisition, having received new orders for the consolidated portfolio, we have seen that this will translate to a stronger company that will be able to effectively compete worldwide in this space. Our products combined with the Netistix FleetPulse suite of services will enable fleet managers to significantly increase the overall efficiency of their fleets, increase safety and security for their drivers, vehicles, goods and the public in general. FleetPulse has focused on reducing the cost of fleet ownership by providing information that enables fuel savings and the subsequent reduction in green-house gasses produced, increased vehicle utilization," concluded Mr. Cirella.

This press release is available on the Company's official investor relations site for investor questions and commentary at http://www.agoracom.com/IR/BSM. Alternatively, investors are able to e-mail their questions to GPS@agoracom.com where they can also request addition to the BSM investor e-mail list.

About Netistix Technologies

Incorporated in 2002, Netistix Technologies Corporation is a privately held company headquartered in Ottawa, Canada and has developed a comprehensive and customizable wireless fleet management solution known as "FleetPulse". The Netistix "FleetPulse", Wireless Fleet Management System, delivers actionable information that reduces fleet operation and environmental costs, improves productivity and increases safety.

For more information, please visit http://www.netistix.com.

About BSM Technologies

BSM Technologies designs, manufactures and markets a comprehensive line of AVSL ("Automatic Vehicle Security and Tracking") solutions for Commercial and Government Fleet Management, including Law Enforcement, through its subsidiary BSM Wireless. The BSM line of products range from Fleet Management and Consumer Vehicle Protection offerings to the full featured "Stinger" product featured in news media worldwide as the key technology behind the Bait and Covert application used by hundreds of Law Enforcement agencies to deter vehicular, trailer and heavy equipment theft.

Superior functionality, seamless switching between two separate footprints, enhanced reliability, advanced security features, and excellent value characterize BSM products. By incorporating advanced wireless locating and mapping technology, and IP-based communications protocols, the BSM line of products provides sophisticated real-time monitoring and control of commercial and personal vehicle assets to meet the demanding needs and stringent requirements of today's mobile environments. BSM's unique end to end solutions feature sophisticated wireless hardware, firmware and software all developed by and proprietary to BSM. The BSM product line can be easily adapted and customized to match any customer user requirement while BSM's in-house support infrastructure assures that all clients receive the premium AVSL solution in the industry to meet their needs.

About SecTrack

SecTrack sells Inmarsat D+ transceivers and airtime subscription to value added resellers around the world. These VARs are typically local companies who have built a proper monitoring and tracking service for end-users in a multitude of maritime and land based sectors including nuclear transport monitoring, mining, security tracking of trucks, trailers and other vehicles and tracking of airplanes and rescue helicopters. The company's customer base is spread over Europe, Asia, Africa and Central and South America.

Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Factors that might cause a difference include, but are not limited to, market acceptance of principal products, the impact of competitive products and technologies, the possibility of products infringing patents and other intellectual property of fourth parties, and costs of product development.

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release may include certain "forward-looking statements" that involve risks and uncertainties. Actual results may differ materially from results indicated in any forward-looking statements. The company cautions that, among other things, in view of the rapid changes in communications markets and technologies, and other risks including the cost and market acceptance of the company's new products, the level of individual customer procurements and competitive product offerings and pricing, and general economic circumstances, the company's business prospects may be materially different from forward-looking statements made by the company.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information