SOURCE: ActiveCore Technologies

February 06, 2007 07:30 ET

ActiveCore Signs Letter Of Intent to Acquire Collective Point of Sale Solutions, a Leading Canadian Provider of Debit & Credit Payment Processing Services

TORONTO -- (MARKET WIRE) -- February 6, 2007 -- ActiveCore Technologies, Inc. (OTCBB: ATVE), a Company that operates as a payment technology solution provider, is pleased to announce that it has signed a non-binding Letter Of Intent (LOI) to acquire Collective Point of Sale Solutions Ltd. (CollectivePOS) (www.collectivepos.com), a leading Canadian provider of payment processing services and secure point of sale solutions. This transaction is accretive to ActiveCore as CollectivePOS already has both solid revenue and earnings and will generate more than $6,000,000 USD in sales in 2007 from more than 9,000 existing merchant accounts processing in excess of $1 billion annually.

ActiveCore plans to use the CollectivePOS acquisition as a base to launch a Merchant Services consolidation strategy that will provide an immediate and expanding client base for the implementation of its CyBux, ePocket and ActiveCAST products. This strategy will achieve aggressive revenue and earnings growth through the addition of new merchants and an expanded product footprint. In addition to being accretive this transaction is highly synergistic from both a technology and market expansion perspective. Completion of this transaction will accelerate ActiveCore's planned move to a more senior exchange as it will have all of the required ingredients: revenue, profitability, outstanding products and excellent management. ActiveCore plans to complete this acquisition by the end of its first quarter and will use a combination of cash and stock.

Peter Hamilton, Chief Executive Officer of ActiveCore, stated, "The planned acquisition of CollectivePOS by the end of our first quarter represents a major event identifiable as the single most dominant milestone in Company history. It will provide immediate revenue and positive cash flow and forms a cornerstone from which the business can profitably expand both within Canada and Internationally." Mr. Hamilton went on to say that "CollectivePOS has an excellent management team, recurring transaction-based revenue as well as a great technology. It is this combination of people, product and a proven business model that ideally positions the Company to take advantage of the fragmented Merchant Services Provider market and execute a highly profitable roll-up strategy."

Mr. Michael Back, CEO of Collective Point of Sale Solutions Ltd., stated, "Over the past 5 years, we have built an extremely profitable company by focusing on delivering superior payment technology and exceptional service to small and medium sized businesses throughout Canada. We feel that the time has come for us to expand both our product offering and our Merchant base and believe that this transaction will provide us with the resources that are needed to accomplish this."

Mr. Neil Fishenden, CEO of Global Sterling Payments Systems (GSPS/ePocket), stated, "This acquisition dramatically enhances ActiveCore's strategy to become a world class payment technology solution provider." Mr. Fishenden went on to say that, "ActiveCore's planned expansion into the UK market, the most developed in Europe, will be significantly enhanced by the acquisition of CollectivePOS and the addition of their products to our portfolio. ActiveCore's ability to offer 'Card Not Present Solutions' (ePocket and CyBux) to CollectivePOS merchants as well as the ActiveCAST Marketing platform will greatly enhance the potential for incremental revenue in the proven CollectivePOS Model."

This press release is available on the company's official online investor relations site for investor commentary, feedback and questions. Investors are asked to visit ActiveCore IR Hub located at http://www.Agoracom.com/IR/ActiveCore.

About ActiveCore Technologies, Inc. (www.activecore.com)

ActiveCore Technologies, Inc. operates as a payment technology solution provider, primarily in the on-line payment market. Our products encompass a variety of payment technologies as well as our own integration tool kit and direct marketing software platform that allows us to better support our payment technology clients.

About Collective Point of Sale Solutions Ltd. (www.collectivepos.com)

Established in 2001, Collective Point of Sale Solutions Ltd. (CollectivePOS) is a leading Canadian provider of debit & credit payment processing services and secure point-of-sale solutions. The Company services more than 9,000 small and medium sized businesses and processes more than $1 billion dollars annually. CollectivePOS offers payment processing solutions for dial-up, high-speed internet, e-commerce and mobile environments in both Canadian & US funds. CollectivePOS is based in Toronto, Canada.

About ePocket Digital Coin Technolgy (www.ePocket.com)

ePocket brings true electronic cash to the world for the first time, making purchases over the Internet as secure and simple as handing cash to a clerk in a store. ePocket enables banks to provide their customers with the ability to withdraw electronic cash in any currency from their regular deposit accounts, and send this electronic cash to merchants or other consumers in order to make payments. Cash created electronically is just like real cash, except there are no coins, bills, or plastic cards -- it is entirely electronic. Just like real cash, electronic cash does not require the identification of a payer. This provides privacy for consumers, and eliminates fraud and identity theft, making ePocket the most cost-effective payment solution for Internet commerce. In contrast to other payment schemes, consumers do not have to open additional accounts with a payment intermediary. Consumers do not have to give up any identity or credit information in order to accomplish a payment. This makes ePocket payments completely secure and provides complete privacy for consumers.

About CyBux (www.CyBux.net)

CyBux has created an integrated online payment system across Canada involving most of the major banks and credit unions. This network encompasses thousands of financial institutions and provides a highly secure account-based payment system for use on the Internet. Consumers do not have to give up any credit information in order to accomplish a payment and can set-up an account and begin using the system with simply providing an email account. The system is low cost, making it ideal for micro-payments and a replacement for existing online payment methods and subscription systems.

Statements contained in this news release regarding ActiveCore Technologies, Inc. formerly IVP Technology and planned events are forward-looking statements, subject to uncertainties and risks, many of which are beyond ActiveCore's control, including, but not limited to, reliance on key markets, suppliers, and products, currency fluctuations, dependence on key personnel and trade restrictions, each of which may be impacted, among other things, by economic, competitive or regulatory conditions. These and other applicable risks are summarized under the caption "Risk Factors" in ActiveCore's Registration Statement on Form SB-2 filed with the Securities and Exchange Commission on January 4, 2005. Forward-looking statements by their nature involve substantial risks and uncertainties. As a result, actual results may differ materially depending on many factors, including those described above.

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