TORONTO, ONTARIO--(Marketwired - Aug. 22, 2014) - Avante Logixx Inc., ("Avante" or the "Company") (TSX VENTURE:XX) is pleased to announce that today it has closed its previously announced acquisition of all of the issued and outstanding shares of INTO-ELECTRONICS INC. ("INTO-ELECTRONICS") pursuant to a share purchase agreement dated July 21, 2014 as amended by amendment agreement dated August 22, 2014.
Founded in 1991 as a high end custom residential security and automation services integrator, INTO-ELECTRONICS which is based in Toronto, has developed a specialized skillset in commercial and high rise security integration, monitoring, and electronic building management, which includes 24/7 access control management and operation of its own 24/7 support centre, in addition to its expertise in high end residential security and generates over $2,500,000 in revenue annually of which approximately one third is recurring. Mr. Rodney Wechsler will continue in his role as President of INTO-ELECTRONICS pursuant to an employment agreement and continue to drive strategy and execution.
The terms of the share purchase agreement dated July 21, 2014 were amended to provide that, in addition to the 1,052,632 Avante common shares issued to the vendors on closing as partial consideration for their INTO-ELECTRONIC shares (representing $400,000 of shares based on the definitive purchase agreement signing date's 20 day volume-weighted average sale price of $0.38 per share), an additional 2,105,264 Avante common shares were issued to the vendors on closing (representing $800,000 of shares based on the signing date's 20 day volume-weighted average sale price of $0.38 per share). The additional 2,105,264 Avante common shares issued to the vendors are held subject to an escrow agreement with a third party escrow agent which provides that 50% of such escrowed shares are to be released to the vendors on each of the one year and two year anniversary of closing, subject to certain contingencies and adjustments including in respect of indemnity claims. Previously, as disclosed in the Company's July 21, 2014 press release, it was contemplated that, in addition to the 1,052,632 Avante common shares to be issued at closing, $400,000 of Avante common shares be issued on each of the first and second year anniversaries of closing based on the preceding 20 day volume-weighted average sale price per share from the date of issuance, subject to certain contingencies and adjustments.
About Avante Logixx
Avante Logixx Inc. (TSX VENTURE:XX) is a Toronto based security and technology company. Its primary operating division, Avante Security Inc. (www.avantesecurity.com), provides best in class security response and other security services for residential and commercial applications as well as being an industry leader in designing and installing complex security systems, access control, intelligent video analytics and smart home automation. Its International Travel Security offering helps corporations protect traveling employees working abroad in medium/high risk jurisdictions and has executed travel details in over 60 countries. The company continuously develops innovative products and applications within its core competencies. Please visit our newly updated websites at www.avantelogixx.com and www.avantesecurity.com and consider joining our investor email list.
FORWARD LOOKING STATEMENTS
Certain of the statements and information in this press release constitute "forward-looking statements" or "forward-looking information." These statements include, but are not limited to, statements with respect to the entering into of agreements, the closing of transactions and the use of proceeds. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the timing of transactions, the ability to fulfill certain conditions and obtain regulatory approvals, and the ability to raise funds and use the proceeds as anticipated.
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