Versatile Announces the Sale of IT VAR Business to BigR.io

MECHANICSBURG, Pa.--()--Versatile Systems Inc. (“Versatile”) (TSX VENTURE:VV) announces that it has sold all of the shares of its wholly owned U.S. subsidiary Versatile Systems, Inc (“VSI”) to BigR.io, LLC (“BigR.io”), based in Boston, Mass. VSI, which is based in Mechanicsburg, Pa., carried on Versatile’s Value Added Reseller operations. The purchase price will be paid to Versatile over time based on an earn-out formula.

“Now BigR.io will be able to offer a one-stop shop for CTOs”

"The sale of our VAR business allows Versatile to focus our resources and investment on our credit, mobile and technology services businesses,” said Bertrand des Pallieres, Versatile’s executive chairman.

BigR.io has advised Versatile that it intends to keep the VSI VAR based in Mechanicsburg, Pa., to fully support the large base of customers in the central Pennsylvania marketplace.

“Now BigR.io will be able to offer a one-stop shop for CTOs,” said Scott Cohen, managing partner of BigR.io. “The addition of third-party hardware and software solutions to our suite of Big Data consulting, software development and outsourcing services broadens our ability to fully support our enterprise and government customers.”

Versatile also announces that it has completed a refinancing with its primary lender, MidPenn Bank, based in Harrisburg, Pa. The refinancing was structured in a manner that optimizes Versatile’s opportunity for growth, based upon the flexible nature of the financing structure MidPenn provided.

About Versatile

Versatile is a multi-disciplinary technology company with solutions across the mobile, digital signage, IT infrastructure, software and hardware landscape. The company’s products are utilized by Fortune 500 companies, leading financial institutions and large and small retail organizations. For more information, please visit www.versatile.com.

Forward-Looking Statements

This document may contain forward-looking statements relating to Versatile’s operations or to the environment in which it operates, which are based on Versatile’s operations, estimates, forecasts and projections. Such statements include that the purchase price will be paid over time based on an earn-out formula. There is no guarantee that the earn-out conditions will be met and that any purchase price will be paid to Versatile. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict or are beyond Versatile’s control. A number of important factors including those set forth in other public filings could cause actual outcomes and results to differ materially from those expressed in these forward-looking statements. Consequently, readers should not place any undue reliance on such forward-looking statements. In addition, these forward-looking statements relate to the date on which they are made. Versatile disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contacts

Versatile Systems Inc.
Bertrand des Pallieres
Executive Chairman
800-851-1281
or
Vicki Turjan
Chief Financial Officer
800-851-1281

Versatile Systems Inc.