CALGARY, Alberta, June 27, 2023 (GLOBE NEWSWIRE) -- Quorum Information Technologies Inc. (TSX-V: QIS) (OTC Pink: QIFTF) (“Quorum”), a North American SaaS Software and Services company providing essential enterprise solutions that automotive dealerships and Original Equipment Manufacturers (“OEMs”) rely on for their operations, is pleased to announce that it has closed the arms-length acquisition (the “Transaction”) of VINN Automotive Technologies Limited (“VINN”) - New & Used Cars for Sale | VINN. VINN is Quorum’s fifth acquisition in six years and marks another step forward in Quorum’s strategy to be a full-service provider to automotive dealerships.
VINN is a premier automotive marketplace that streamlines the vehicle research and purchase process for vehicle shoppers while helping retailers sell more efficiently. VINN provides a 5-star Google rated concierge service that assists consumers through the complex vehicle sales process. With key infrastructure already in place and by utilizing the strength of Quorum’s 1,433 dealership customers, Quorum expects the acquisition to be accretive and profitable in the first year.
Key strategic reasons for this Transaction include:
- VINN provides dealerships with valuable, qualified sales leads and Quorum’s integrated sales tools will ensure dealerships achieve a high lead close percentage.
- Quorum’s MyDeal product will transform VINN into a digital retailing marketplace.
- VINN’s 5-star concierge service can open new revenue streams for both Quorum and the dealership such as reanimating dealerships’ old sales leads to close missed sales opportunities.
- Quorum plans to leverage VINN’s $9.6 million of non-capital tax loss carry forwards.
Consideration for the Transaction is $0.75 million in cash with an 80% holdback pursuant to the terms of the Share Purchase Agreement. Quorum will utilize current cash reserves to fund the cash consideration.
“The VINN team has developed a state-of-the-art automotive marketplace and we look forward to working together to scale the business. We extend a warm welcome to the existing, valued VINN dealership customers and stand committed to expanding the number of quality sales leads we provide you,” stated Maury Marks, Quorum’s President and CEO. “The VINN marketplace will complement our dealership vehicle sales solutions as we continue to build our product suite capability beyond our DMS solution.”
“Quorum’s experience partnering with 1,433 dealerships across North America provides a logical home for the tools we’ve built at VINN,” stated VINN CEO Caleb Bernabe. “We’re excited to see our solutions continue to scale to vehicle shoppers, and the ability to further integrate with Quorum’s product suite offers the potential for VINN to deliver a best-in-class consumer experience.”
About Quorum Information Technologies Inc.
Quorum is a North American SaaS Software and Services company providing essential enterprise solutions that automotive dealerships and Original Equipment Manufacturers (“OEMs”) rely on for their operations, including:
- Quorum’s Dealership Management System (DMS), which automates, integrates, and streamlines key processes across departments in a dealership, and emphasizes revenue generation and customer satisfaction.
- DealerMine CRM, a sales and service Customer Relationship Management (“CRM”) system and set of Business Development Centre services that drives revenue into the critical sales and service departments in a dealership.
- Autovance, a modern retailing platform that helps dealerships attract more business through Digital Retailing, improve in-store profits and closing rates through its desking tool and maximize their efficiency and CSI through Autovance’s F&I menu solution.
- Accessible Accessories, a digital retailing platform that allows franchised dealerships to efficiently increase their vehicle accessories revenue.
Quorum Information Technologies Inc. is traded on the TSX Venture Exchange (“TSX-V”) under the symbol QIS. For additional investor information, please visit www.QuorumInformationSystems.com.
Contacts:
Maury Marks
President and Chief Executive Officer
403-777-0036
Maury.Marks@QuorumInfoTech.com
Marilyn Bown
Chief Financial Officer
403-777-0036
Marilyn.Bown@QuorumInfoTech.com
Daniela Trnka
Investor Relations
403-777-0036
Daniela.Trnka@QuorumInfoTech.com
Forward-Looking Information
This press release may contain certain forward-looking statements and forward-looking information (“forward-looking information”) within the meaning of applicable Canadian securities laws. Forward-looking information is often, but not always, identified by the use of words such as “anticipate”, “believe”, “plan”, “intend”, “objective”, “continuous”, “ongoing”, “estimate”, “expect”, “may”, “will”, “project”, “should” or similar words suggesting future outcomes. Quorum believes the expectations reflected in such forward-looking information are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking information should not be unduly relied upon.
Forward-looking information is not a guarantee of future performance and involves a number of risks and uncertainties some of which are described herein. Such forward-looking information necessarily involves known and unknown risks and uncertainties, which may cause Quorum’s actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking information.
Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed this release and neither accepts responsibility for the adequacy or accuracy of this release.
