NEW YORK, April 27, 2017 /PRNewswire/ --
DirectView Holdings, Inc. (OTC PINK:DIRV) ('DirectView' or the
'Company'), a company focused on ownership and management of
leading video and security technology companies, today announced
that it has completed the acquisition of Video Surveillance, LLC
and ApexCCTV, LLC (the 'Acquisition Companies'), two Texas-based video security and surveillance
companies, operated and solely owned by Mark D. Harris. Based on the unaudited financial
statements for fiscal 2016, the combined revenue of the Acquisition
Companies is approximately $5.3
million.
Under the terms of the securities purchase agreement (the
'SPA'), Directview acquired all of the issued and outstanding
equity interests of each of the Acquisition Companies, for a
minimum of approximately $1.9 million
in cash to be paid approximately six months from the date of
acquisition. Upon the successful completion of a two year audit of
the Acquisition Companies in accordance with U.S. GAAP accounting
standards for the fiscal years ended 2016 and 2015; DirectView will
be obligated to pay an additional amount ranging from $2,000 up to $500,000, based on the positive average annual
cash flow achieved in those two years. DirectView has received a
non-binding term sheet to finance the payments as well as to fuel
future growth of the combined companies. The Company also intends
to explore a number of potential financing sources to achieve the
best long term results for the Company and its shareholders. For a
more detailed description of the SPA, please review our current
report on Form 8-K filed with the Securities and Exchange
Commission on April 26, 2017.
As part of the transaction, Mark D.
Harris has entered into a three year employment agreement
with DirectView, where he will serve as President of the
Acquisition Companies. Mr. Harris is a technology services veteran
with over 25 years experience and a proven track record of building
profitable revenue growth. He served for 19 years at Intervoice
(formerly traded as NASDAQ: INTV), a world leader in delivering
natural, intuitive ways for people to interact, transact, and
communicate through technology. As Senior Vice President of
Americas Operations and Global Services at Intervoice, he led a
team, which was responsible for pioneering the execution of a new
Enterprise Hosted Solutions business, to support advanced self
service applications and intelligent transactions. Beginning in
2008, upon the acquisition of Intervoice by Convergys Corporation
(NYSE: CVG), he served as Senior Vice President of Global
Technology Services at Convergys Corporation through 2014. He
brings a wealth of experience in M&A integration, business
development and strategic planning to the Directview management
team.
Roger Ralston, CEO and Chairman
of DirectView, stated, "The acquisition of these companies is a
very exciting transformational event for DirectView as we position
for current and future growth. Mr. Harris has built two businesses
that in less than three years, are generating substantial revenue
and, more importantly, positive cash flow. He also has a wealth of
technology management experience that will be invaluable for
DirectView as we execute our strategic growth plan. With his
expertise in establishing a nationwide market presence through
direct and online sales, and our ability to tailor customized
solutions in the marketplace, I believe we have set the stage to
achieve significant organic sales growth in the coming years.
Additionally, this acquisition gives us the critical mass to
opportunistically roll-up other security and surveillance
companies, in order to further accelerate the growth of our
business and build significant long term value for our
shareholders."
Mark D. Harris added, "I am
excited to now be a part of the DirectView team as we work to
become a force in our industry, by creating a very attractive
roll-up platform. Through this combination, all of our companies
will benefit from increased bandwidth, greater expertise and more
wide ranging sales opportunities. I look forward to implementing
the proper business strategies to build our business, both
organically, and through prudent acquisitions in order to provide
the best solutions in the market for our growing customer
base."
About DirectView Holdings, Inc
DirectView Holdings, Inc., together with its subsidiaries,
provides video surveillance solutions and teleconferencing products
and services to businesses and organizations. The company operates
in two divisions, Security (Video Surveillance) and Video
Conferencing. The Security division offers technologies in
surveillance systems providing onsite and remote video and audio
surveillance, digital video recording, and services. It also sells
and installs surveillance systems; and sells maintenance
agreements. The company sells its products and services in
the United States and
internationally, through direct sales force, referrals, and it's
Websites. The Video Conferencing division offers teleconferencing
products and services that enable clients to conduct remote
meetings, by linking participants in geographically dispersed
locations. It is involved in the sale of conferencing services
based upon usage, the sale and installation of video equipment, and
the sale of maintenance agreements. This division primarily
provides conferencing products and services to numerous
organizations ranging from law firms, banks, high tech companies
and government organizations. For more information visit our
website at http://www.DirectView.com and connect with us on
Twitter, LinkedIn, Facebook, and Google+.
Cautionary Statement Regarding Forward Looking
Statements
Forward Looking Statements: This press release contains
forward-looking statements that involve a number of risks and
uncertainties, including statements regarding the outlook of the
Company's business and results of operations. By nature, these
risks and uncertainties could cause actual results to differ
materially from those indicated. Generally speaking, any statements
using terms such as "will," "expect," "anticipate," or "may," or
which otherwise predict or address future results or events, are
likely to contain forward-looking statements. It is important to
note that actual results may differ materially from what is
indicated in any forward-looking statement. Readers should consider
any forward-looking statements in light of factors that could cause
actual results to vary. These factors are described in our filings
with the SEC, and readers should refer to those filings, including
Risk Factors described in those filings, in connection with any
forward-looking statements. The Company disclaims any intention or
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise.
The Company is unable to make any assurances that it will receive
financing, or if financing is available, that such financing will
be on terms acceptable to the Company.
Contact:
DirectView Holdings, Inc.
Roger Ralston
+1-212-858-9100 EXT. 111
IR@DirectView.com
http://www.DirectView.com
SOURCE DirectView Holdings, Inc.