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Quorum announces acquisition of Accessible Accessories Ltd., a Canadian business journal

Calgary, Alberta, March 10, 2022 (GLOBE NEWSWIRE) — Quorum Information Technologies Inc. (QIS: TSXV) (“Quorum” or “Company”), SaaS software and SaaS software that provides critical software that vehicle dealers rely on. Service company Accessible Accessories Ltd operates throughout North America. We are pleased to announce that we have entered into a formal agreement regarding the acquisition (“Transaction”) of (“Accessible”). The transaction is expected to close around April 1.st, 2022. This is Quorum’s fourth acquisition since 2017 and marks a new step in Quorum’s strategy to become a full-service provider to car dealers.

Headquartered in Medicine Hat, Alberta, Canada, Accessible has more than 680 car franchise dealer customers across Canada. Accessible develops, implements, and supports a web-based platform that enables franchise dealers to sell their accessories more effectively. Accessible is a growing business with a large customer base of proven teams and highly successful dealers. The main strategic reasons for this transaction are:

  • Accessible complementary products provide strategic cross-selling opportunities and contribute to Quorum’s strategy to become a full-service software provider to car dealerships.
  • After the acquisition, at least one Quorum product will be installed in more than 1,450 franchise dealers in North America, including more than 40% of Canadian dealers, putting Quorum in Canada’s leadership position.
  • Quorum expects the transaction to generate approximately $ 1.5 million in revenue and gross profit for software as a service (“SaaS”) annually. Adjusted EBITDA1 Cash flows from transactions are expected to be added to the current business.
  • The transaction is priced at $ 4.5 million in cash and has a 10% holdback released on September 30, 2022, subject to the terms of the earnings structure. Quorum will leverage its current cash reserves and its BDC Capital Facility to fund cash consideration.
  • Quorum plans to integrate the accessible solution into the Quorum Dealership Management System to provide a lot of efficiency to the parts and service departments within the dealership.
  • In addition, Quorum plans to integrate the Accessible solution into the MyDeal digital retail solution to provide dealer customers with valuable accessory sales tools when buying vehicles online.

Morley Marks, Quorum’s President and Chief Executive Officer, said: “We look forward to the Accessible team joining Quorum and Don and Brone continuing to work with Quorum throughout the integration period. Accessible has incredible software solutions to integrate into Quorum’s current product suite. This will allow us to provide significant added value to our dealer’s customers. “

“Quorum is an organization that shares accessible values ​​to provide innovative products that provide true value to customer service and dealers. This acquisition further accelerates the innovation of accessible solutions and makes them accessible. It will be enhanced, “said Don Doonan, President and CEO of Accessible. “We also thank the wonderful team of Accessible for driving our growth. We are pleased that Quorum will continue to bring the team together to provide the high level of support that accessible dealers are accustomed to. increase.”

1 Adjusted EBITDA (Non-GAAP) – Net income before deducting interest and funding costs, taxes, depreciation, amortization, stock-based fees, foreign exchange gains and losses, one-off acquisition-related costs, and restructuring costs. (loss).

About Quorum Information Technologies Inc.

Quorum is a North American company focused on developing, marketing, implementing, and supporting a portfolio of software and services for automotive retailers, including:

Quorum’s Dealer Management System (DMS) automates, integrates and streamlines key processes across departments within a dealer, emphasizing revenue generation and customer satisfaction.

DealerMine CRM is a customer relationship management (CRM) system for sales and services, a set of business development center services that generate revenue for the critical sales and service departments of a retailer.

Autovance is a state-of-the-art retail platform that helps dealers attract more businesses through digital retail, improve in-store profits and closing rates through desk tools, and maximize efficiency and CSI through Autovance’s F & I menu solutions.

Quorum Information Technologies Inc. is traded on the TSX Venture Exchange (TSXV) under the QIS symbol. For more information, please visit QuorumInformationSystems.com.

contact address:

Molly Marks
President and Chief Executive Officer
403-777-0036
Maury.Marks@QuorumInfoTech.com

Marilyn Boun
CFO
403-777-0036
Marilyn.Bown@QuorumInfoTech.com

Investor Publicist
Ron Shuttle Worth
Partner
Oak Hill Financial
647-500-7371
rshuttleworth@oakhillfinancial.ca

Information about the future outlook

This press release may contain specific forward-looking statements and forward-looking information (“Forecast Information”) within the meaning of applicable Canadian securities law. .. Information about future prospects is often, but not always, “anticipate,” “believe,” “plan,” “intention,” “objective,” “continuous,” “continuous,” It is identified using words such as “estimate.” , “Expect,” “may,” “do,” “plan,” “should,” or similar words that suggest future outcomes. Quorum believes that the expectations reflected in such forward-looking information are reasonable, but there is no guarantee that these expectations will be proven to be correct and such forward-looking information. Should not be overly trusted.

Forward-looking information is not a guarantee of future performance and involves many risks and uncertainties, some of which are included in this document. Information about such future prospects necessarily includes known and unknown risks and uncertainties, and the actual performance and financial results of future quorums are expressed or expressed by information about such future prospects. It may differ materially from the implied future performance or forecast of results.

Neither the TSX Venture Exchange nor its regulatory service provider (the term is defined in the TSX Venture Exchange Policy) has reviewed this release and is not responsible for the validity or accuracy of this release.

Available PDFs: http://ml.globenewswire.com/Resource/Download/bf7b34ed-02ca-4969-8718-d19a9c14512b


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Quorum announces acquisition of Accessible Accessories Ltd., a Canadian business journal

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