Advant-e Corporation to Acquire Merkur Group
15 June 2007 - 11:00PM
PR Newswire (US)
Combination Extends Advant-e Solution Portfolio and Provides
Opportunities to Target New Vertical Industries DAYTON, Ohio, June
15 /PRNewswire-FirstCall/ -- Advant-e Corporation (OTC:AVEE)
(BULLETIN BOARD: AVEE) , a provider of Internet-based
business-to-business electronic commerce services via its sole
operating subsidiary, Edict Systems, Inc., today announced that it
has entered into a nonbinding Letter of Intent to purchase a
privately owned Delaware corporation, Merkur Group, Inc., based in
West Chester, Ohio. The principal shareholder of Merkur Group, Inc.
is Rob D. Wadzinski, the brother of Advant-e CEO Jason K.
Wadzinski. The proposed acquisition is subject to completion of due
diligence and execution of a definitive purchase agreement by the
parties. There can be no assurances that a closing will occur. For
over ten years, Merkur Group has helped organizations streamline
the document-intensive aspects of procure-to-pay and order-to-cash
business processes. Merkur Group solutions provide multi-channel
document delivery, receipt, capture, archive, and workflow
capabilities that are tightly integrated with CRM, SCM, financial,
and ERP systems such as Oracle, PeopleSoft, SAP, Baan, legacy, and
many other business applications. For the past several years,
Merkur Group has generated revenue of approximately $2 million on a
non-GAAP reporting basis. Advant-e expects the acquisition of
Merkur to contribute to the Company's profitability during the
second half of 2007. Under the terms of the LOI, Advant-e
Corporation will acquire on or about July 2, 2007 all issued and
outstanding shares of stock of Merkur Group for a total purchase
price not to exceed $1.6 million. The purchase will be comprised of
cash not to exceed $950,000 and unregistered Advant-e common stock
not to exceed 396,300 shares. Advant-e has secured an independent
valuation for Merkur from Mills & Associates, a Dayton, Ohio
based mergers and acquisitions firm. Commenting on the business
combination, Mr. Jason K. Wadzinski, CEO of Advant-e stated, "This
proposed acquisition provides Advant-e with the opportunity to grow
top-line revenue with document processing products that are
compatible with our existing e-commerce solutions. In addition, the
acquisition offers opportunities for combined Edict Systems-Merkur
Group solutions targeted to new customers as well as extend the
value both companies offer to existing customers." About Advant-e
Corporation Advant-e, via its wholly owned and sole operating
subsidiary Edict Systems, Inc., is a provider of
Business-to-Business electronic commerce software and
Internet-based applications specializing in Electronic Data
Interchange (EDI) and XML-based solutions for recurring
transactions. Advant-e specializes in horizontal transaction
services via EnterpriseEC(R), an Internet-based Trading Community
Connectivity, Management, and Integration solution, and within
specific industries via web-based EDI services including
http://www.groceryec.com/, http://www.retailec.com/,
http://www.automotiveec.com/, http://www.cpgsupplier.com/, and
http://www.webedi.com/. Additional information about Advant-e
Corporation can be found at http://www.advant-e.com/ and
http://www.edictsystems.com/ or by contacting investor relations at
(937) 429-4288. The company's email is . The information in this
news release includes certain forward looking statements that are
based upon assumptions that in the future may prove not to have
been accurate and are subject to significant risks and
uncertainties, including statements to the future financial
performance of the company. Although the company believes that the
expectations reflected on its forward looking statements are
reasonable, it can give no assurance that such expectations or any
or its forward-looking statements will prove to be correct. Factors
that could cause results to differ include, but are not limited to,
successful performance of internal plans, product development and
acceptance, the impact of competitive services and pricing, or
general economic risks and uncertainties. DATASOURCE: Advant-e
Corporation CONTACT: Investor Relations of Advant-e Corporation,
+1-937-429-4288, or Web site: http://www.advant-e.com/
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