COLORADO SPRINGS, Colo., April 15, 2004 (PRIMEZONE) -- Maximum Dynamics, Inc. (OTCBB:MXDY), a projects management and back office services company with subsidiaries focused on technology solutions, business process management and wireless communications, announced today that it has signed a term sheet to acquire 40% of Intesol Corporation (Pty) Ltd. ("Intesol"), a 54% South African Black Economic Empowerment (BEE) technology company.
Terms have been reached and will be announced upon completion of the transaction, after which Intesol will be a significant subsidiary of Maximum. The consolidated revenues for Intesol and its joint ventures for the financial year 2003/2004 are being prepared and are expected to reveal revenues of over $10,937,500 USD (R70,000,000) with a net income estimated to be over $2,187,500 USD (R14,000,000), which is estimated using the exchange rate of 6.4 South African Rand (R) per $1 USD.
Intesol is comprised of a group of subsidiaries that fall under the umbrella of Intesol Corporation (referred to collectively as the Intesol Group of Companies). Intesol specializes in integrated security solutions, systems design, electronic security, data recovery and erasing, digital storage, security risk analysis, engineering consulting, radio frequency identification tag integration, banking security, technology law, Energy Power Management and other forms of communications.
In addition to being a solid infrastructure company, Intesol Group of Companies has intellectual property rights and patents that include: ATM access control, a bank card identification system, a credit card identification system, cell ads, a vehicle identification system, an asset integrated monitoring identification system, and information security software.
Both parties believe the business combination will be formidable. First, Intesol has solutions that enhance Maximum's real-time tracking technology (TagNet), mobile point of sale product (M.POS) and business process management solutions. Secondly, Intesol represents additional infrastructure Maximum needs as it ramps up its world-wide operations to service orders for its products in the banking, government and commercial sectors.
"Our strength as a company is quickly becoming recognized, which helps us leverage excellent business opportunities we identify," said Eric Majors, Maximum's CEO. "Intesol is an opportunity where the combination of our technology and operations is impressive. Intesol is profitable, has strong management, top-tier resources, and their business model and goals are in alignment with our own. Intesol came to us because they had heard about our products and they quickly showed us how they could enhance our projects. After analyzing Intesol against our criteria, we decided we could not pass up this opportunity to partner with them in order to deliver on our projects."
As a result of this acquisition, Maximum now has another vehicle in addition to E-Sap that can support its projects, increase revenues and deliver more customers. While Maximum is not employing a roll-up or acquisitions strategy, the company has gained significant exposure in South Africa and other parts of the world. Companies are very interested in working with Maximum and tapping into Maximum's growing global value chain. As a result, Maximum is approached on average once per week with various merger/acquisition opportunities.
"We are business relationship and project managers that leverage our proprietary back office, financial and project management technology, facilities and capabilities to provide intellectual property, products, and service offerings sourced from around the world," added Majors. "So, it's no surprise we are getting inundated with inquiries and attracting attention. However, we will not change our criteria. We look for strongly managed, profitable partners that can help us deliver on sales of our products and services already in the pipeline. To attract strong partners, you must have the product needed for their customers or have customers lining up for your solutions. We have both, so we are very selective about the partners we choose, ensuring they can make a positive contribution to our business and the community in which we work."
Intesol's corporate headquarters are situated in Cape Town and Pretoria and has offices through subsidiaries dispersed over the Provinces in South Africa, Windhoek (Namibia), Gaborone (Botswana), Dar es Salaam (Tanzania), Nairobi (Kenya) and Kampala (Uganda). Some of Intesol's strategic partners include the Manjushree Infotech (BK Birla Group of Companies) (India), Synergistics Inc., Kyocer Mita South Africa, EDS Enterprise Solutions Africa, Ingrian Networks Inc, Mils Electronic (Austria) and NECCI.
For more information on Maximum Dynamics, visit the company's website at http://www.maximumdynamics.com.
For more information on Intesol Corporation, visit the company's website http://www.intesol-sa.com.
This press release may contain forward-looking information within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the safe harbor created by those sections. Maximum Dynamics assumes no obligation to update the information contained in this press release. Maximum Dynamics' future results may be affected by its ability to continue to implement its hedge fund administration services, its newly acquired Internet marketing capabilities, its dependence on procuring highly competitive hedge fund administration contracts, its dependence on hiring and retaining qualified professionals, potential fluctuations in its quarterly operating results, its dependence on certain key employees and its ability to timely and effectively integrate the businesses it may acquire.