Sweda and Innovax Announce Merger Agreement
DALLAS, TORONTO, and HONG KONG - Innovax Corp., Sweda Canada, Inc., and Sweda International, Ltd. yesterday announced an agreement to form a global point-of-sale solutions company, operating under the Sweda Group umbrella, to offer hardware, software, consulting, and support services to the supermarket and food services industries.
The merger creates a combined retail technology portfolio that extends from traditional point-of-sale systems to global enterprise hardware and software solutions. The privately held company also announced the appointments of Norman Tsui as chairman and c.e.o., James Chao as Vice chairman, J. Graham Long as group president, and Peter Chan as c.f.o.
Sweda Group will maintain its global headquarters in Dallas and continue to support its established presence throughout the United States, Canada, and Asia. The company has an installed base of more than 3,000 customer sites at the time of the merger. Leveraging the strengths of the three former companies, Sweda Group will centralize its hardware and support services center in Toronto and its software research and development facility in Dallas. The company will also benefit from the cost-effective software development and engineering resources within its Asian operations.
"We are very excited about this ingenious consolidation of three innovative businesses," said J. Graham Long, the newly appointed president of Sweda Group. "Leveraging the strengths and diversities of the combined operations, such as in-depth industry knowledge and highly skilled professionals from multiple countries, we offer our current and future customers an expanded network for technical support and a much more compelling value proposition. Sweda Group is poised to promote its competitive products and efficient services in the global market."
The merger is expected to yield positive results, including:
- Enhanced financial stability. Through efficiencies gained by consolidating its business operations, the company anticipates improved cash flow and increased profitability. Management expects that the blending of its Asian, American, and Canadian technical resources will significantly lower the costs of software development and support operations.
- Product and market synergies. The former companies supported POS products and services for midsize to large retail chains in different countries. The new Sweda Group will increase product penetration and revenues by capitalizing on the combined installed base and geographic reach of the former operations. In addition, the robust consulting and services business expertise of Sweda Canada will support global installations of Innovax's Safari open-architecture POS application suite, expanding the geographic market potential for the new company's flagship product. Sweda Group will leverage Sweda Canada's experience on Linux POS solutions for the supermarket industry and introduce the Compris software solution, owned by Compris Technologies, Inc., to the foodservice industry in the United States.
- Customer migration path. Sweda Group's combined solution set brings a new breadth of product and service options to its global customer base. The company's immediate goal is to provide true open-architecture POS systems for retailers -- on Linux and Windows platforms -- providing present and future customers with a smooth migration path and little to no disruption in service.
The merger creates a combined retail technology portfolio that extends from traditional point-of-sale systems to global enterprise hardware and software solutions. The privately held company also announced the appointments of Norman Tsui as chairman and c.e.o., James Chao as Vice chairman, J. Graham Long as group president, and Peter Chan as c.f.o.
Sweda Group will maintain its global headquarters in Dallas and continue to support its established presence throughout the United States, Canada, and Asia. The company has an installed base of more than 3,000 customer sites at the time of the merger. Leveraging the strengths of the three former companies, Sweda Group will centralize its hardware and support services center in Toronto and its software research and development facility in Dallas. The company will also benefit from the cost-effective software development and engineering resources within its Asian operations.
"We are very excited about this ingenious consolidation of three innovative businesses," said J. Graham Long, the newly appointed president of Sweda Group. "Leveraging the strengths and diversities of the combined operations, such as in-depth industry knowledge and highly skilled professionals from multiple countries, we offer our current and future customers an expanded network for technical support and a much more compelling value proposition. Sweda Group is poised to promote its competitive products and efficient services in the global market."
The merger is expected to yield positive results, including:
- Enhanced financial stability. Through efficiencies gained by consolidating its business operations, the company anticipates improved cash flow and increased profitability. Management expects that the blending of its Asian, American, and Canadian technical resources will significantly lower the costs of software development and support operations.
- Product and market synergies. The former companies supported POS products and services for midsize to large retail chains in different countries. The new Sweda Group will increase product penetration and revenues by capitalizing on the combined installed base and geographic reach of the former operations. In addition, the robust consulting and services business expertise of Sweda Canada will support global installations of Innovax's Safari open-architecture POS application suite, expanding the geographic market potential for the new company's flagship product. Sweda Group will leverage Sweda Canada's experience on Linux POS solutions for the supermarket industry and introduce the Compris software solution, owned by Compris Technologies, Inc., to the foodservice industry in the United States.
- Customer migration path. Sweda Group's combined solution set brings a new breadth of product and service options to its global customer base. The company's immediate goal is to provide true open-architecture POS systems for retailers -- on Linux and Windows platforms -- providing present and future customers with a smooth migration path and little to no disruption in service.