DENVER, CO--(NewMediaWire - Aug 18, 2016) - Canna
Security America (CSA) (OTCQB: CSAX), the leading comprehensive security
solutions provider catering to businesses in the licensed cannabis
industry, has entered into an amended and restated settlement with
its now-former Chief Executive Officer (CEO), Dan Williams. The
settlement, which includes Williams' resignation as CEO, also paved
the way for new ownership from three investment groups who now own
50.19% of the Company, as reported in CSA's 8-K filing [JH1] of
August 18, 2016. Capitalizing on the momentum created with the
new ownership, and the vision of the board, CSA also acquired
Colorado-based physical security firm, Big Al's Security (Big
Al's). The Board would like to acknowledge the strategic vision of
investment banker Jon Doukas working in conjunction with Trends
Investments, and Gibraltar Advisors who brought to the table the
private investment group that provided the necessary liquidity to
drive CSA's growth. In addition, Mr. Doukas along with the COO Tom
Siciliano simultaneously targeted the "Big Al" acquisition as the
first step in the pursuit of the Company's acquisition initiative.
Siciliano drove this acquisition of Big Al's which we anticipate
may triple the annual revenues of CSA and provide for greater
industry diversification for the services of both
Companies.
New Management Team/New Vision
Upon the departure of Dan Williams, CSA's Board of Directors
appointed Tom Siciliano to the position of interim President and
Secretary of the Company. Prior to the new appointment, Siciliano
served for the last year as the Company's Chief Operating Officer.
During this process, Jim Willett was added to the board in
February, 2016. Willett most recently served as the majority owner
and CEO of the Yakima Company, a waste recycling company servicing
southern California.
"In a very short period of time, CSA has turned a significant
page in the next chapter of our story," said Tom Siciliano, acting
President of CSA. "With our new owners and a terrific board
solidly in place, we have rapidly begun architecting not only a
path forward, but a future vision for CSA. Our acquisition of Big
Al's is the first of many proof points that we will offer
investors, as well as customers and our employees, regarding our
intent to focus on revenue and smart growth/expansion [MC2]."
Acquisition
CSA's new ownership funding allowed the Company to execute on
the first phase of its new strategic plan with the acquisition
of Big Al's Security. The terms of the cash
and restricted stock transaction were outlined in an 8-K filed
[JH3] by the Company on August 18, 2016.
The acquisition of Big Al's allows CSA to immediately begin
servicing Oregon and Arizona directly as they are licensed and have
team leaders on-site, which we believe are ready to expand CSA's
footprint into these states.
Big Al's physical security services will complement CSA's
existing focus on alarm, video surveillance and access control, to
create a comprehensive suite of security services. Collectively,
but under the CSA brand, the two companies will create a security
services powerhouse for both cannabis-based businesses, as well as
those outside of the cannabis industry. Specific to cannabis, the
acquisition makes CSA one of the largest and most wide-reaching
security companies in the US for an all-cash industry in desperate
need of critical security services.
"As a pioneer in Cannabis security since 2009, we have had the
great fortune of expanding our footprint to other states like
Oregon and Arizona, where there is a need for in-depth knowledge of
the industry and its unique security issues," said "Big" Al Burke,
CEO and founder of Big Al's Security. "As members of the CSA
family, overnight we can now offer a far greater suite of services,
including CSA's deep technical infrastructure, to our clients in
every state we serve. There are few companies that I would trust
our clients with, and even fewer who I believe have the right depth
of knowledge and approach to tackle the significant security
threats faced by the burgeoning cannabis industry. However,
Tom and the team at CSA have proven that they have what it takes to
not only serve our existing clients, but to also craft a better
future for our collective companies than either of us could achieve
separately. We are excited to be new members of the CSA team."
"We are proud and honored to have reached an agreement with such
a dynamic and dedicated group of security professionals," added
Siciliano. "More specifically, the leadership of Al Burke, our new
EVP of Operations for CSA, means we get his six-plus years in
cannabis security and contacts to help us drive our growth and
increase our services. Their team of security professionals,
stellar client roster and specialized services are a great
complement to CSA's existing base, affording us greater ability and
resources to capitalize on the significant security needs of the
cannabis industry as well as the many non-cannabis individuals,
businesses, venues, and events who need our services during these
trying times."
This press release contains forward-looking statements including
without limitation those about the CSA's estimated revenues,
expenses, and growth. Forward-looking statements can be identified
by words such as: "anticipate," "believe," "project," "estimate,"
"expect," "strategy," "future," "likely," "may," "should," "will"
and similar references to future periods. Forward-looking
statements are neither historical facts nor assurances of future
performance. Instead, they are based only on our current beliefs,
expectations and assumptions regarding the future of our business,
future plans and strategies, projections, anticipated events and
trends, the economy and other future conditions. Because
forward-looking statements relate to the future, they are subject
to inherent uncertainties, risks and changes in circumstances that
are difficult to predict and many of which are outside of our
control. Our actual results and financial condition may differ
materially from those indicated in the forward-looking statements.
Therefore, you should not rely on any of these forward-looking
statements. Risks and uncertainties could cause our actual results
and financial condition to differ materially from those indicated
in the forward-looking statements include, competitive and economic
factors, client retention, revenues, personnel costs and other
expenses affecting CSA's profitability, and changes in federal and
state law under which CSA and its clients operate. CSA undertakes
no obligation to publicly update any forward-looking statement,
whether written or oral, that may be made from time to time,
whether as a result of new information, future developments or
otherwise.