VEEMOST TECHNOLOGIES, INC. SIGNS A LETTER OF INTENT TO ACQUIRE TEXAS-BASED IT COMPANY.

Rhea-AI Summary

VeeMost Technologies, formerly Global Developments (OTC: GDVM), announced a Letter of Intent to acquire a Texas-based IT company known for software and hardware integration and support. The Texas firm, founded in 2013, boasts annual revenues of $10 million, with a major customer being a large retailer with over 1200 stores. This acquisition aims to enhance VeeMost's capabilities, driven by the Texas company's innovative approaches and loyal customer base. The deal aligns with VeeMost’s growth strategy and plans to expand in the Texas market, with completion expected in 60 days, pending regulatory approvals.

Positive

• VeeMost Technologies to acquire a Texas-based IT company generating $10 million annually.
• The Texas company has a significant customer base, including a major retailer with over 1200 stores.
• The acquisition aligns with VeeMost’s strategy to expand in the growing Texas IT market.
• Over 30% of VeeMost's e-rates won this year were in Texas.
• The acquisition is expected to enhance VeeMost's capabilities in innovative IT solutions.

Negative

• None.

Red Bank, NJ, June 28, 2024 (GLOBE NEWSWIRE) -- VeeMost Technologies, Inc. formerly, Global Developments, Inc. (OTC:GDVM), a publicly listed leader in innovative IT solutions, is pleased to announce that it has signed a Letter of Intent to acquire a prominent Texas-based IT company. This strategic acquisition will enhance VeeMost's capabilities and market presence, as the Texas company generates annual revenues of approximately $10 million.

The “Texas-based” technology company was founded in 2013 and is a leading provider of software and hardware integration and support. The company has a strong track record of innovation and customer satisfaction, with their largest customer being a large retailer with over 1200 stores nationwide.

The acquisition aligns with VeeMost's long-term growth strategy and its commitment to delivering cutting-edge technology solutions to its expanding customer base. The Texas-based company brings with it a wealth of experience, innovative approaches, and a loyal customer following, which will significantly bolster VeeMost's service offerings.

"We are thrilled at the opportunity to welcome this new company into the VeeMost family," said Mr. Melvin Ejiogu, CEO of VeeMost Technologies, Inc. "Their innovative approach, exceptional talents, and customer base align perfectly with our vision. This acquisition will enable us to push the boundaries of what's possible and provide even greater value to our customers. It ensures that VeeMost capitalizes on the huge growing information technology market in Texas. This was one of the reasons we filed for a foreign qualification last year to expand into Texas. Furthermore, over 30% of the erates we won this year were in Texas, so we are excited about this.”

The acquisition is expected to be completed in the next sixty days, subject to customary closing conditions and regulatory approvals. Upon completion, the “Texas-based” company will operate as a wholly owned subsidiary of VeeMost Technologies, Inc. VeeMost anticipates a seamless integration process, ensuring continued excellence in service and support for both companies' customers.

“When we started on this journey,” said Mr. Ejiogu, “I expressed my goal to leverage acquisitions as one of the strategies to grow the company into a force to reckon with. This is the first step on that journey.”

About VeeMost Technologies, Inc.

VeeMost Technologies, Inc. is a leading provider of comprehensive IT solutions, dedicated to helping businesses optimize their technology investments. With a focus on innovation, quality, and customer satisfaction, VeeMost delivers a wide range of services, including network infrastructure, cybersecurity, cloud solutions, and managed IT services.

Safe Harbor Statement

This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify these statements by the use of the words "may," "will," "should," "plans," "expects," "anticipates," "continue," "estimates," "projects," "intends," and similar expressions. Forward-looking statements involve risks and uncertainties that could cause results to differ materially from those projected or anticipated. These risks and uncertainties include, but are not limited to, the Company's ability to successfully execute its expanded business strategy, including by entering into definitive agreements with suppliers, commercial partners and customers; general economic and business conditions, effects of continued geopolitical unrest and regional conflicts, competition, changes in technology and methods of marketing, delays in completing various engineering and manufacturing programs, changes in customer order patterns, changes in product mix, continued success in technical advances and delivering technological innovations, shortages in components, production delays due to performance quality issues with outsourced components, regulatory requirements and the ability to meet them, government agency rules and changes, and various other factors beyond the Company's control.

CONTACT:
VeeMost Technologies, Inc.
info@veemost.com

FAQ

What is the purpose of VeeMost Technologies' acquisition of the Texas-based IT company?

The acquisition aims to enhance VeeMost's capabilities and market presence, driven by the Texas company's innovative approaches and loyal customer base.

When is VeeMost Technologies expected to complete the acquisition of the Texas-based IT company?

The acquisition is expected to be completed within the next sixty days, subject to customary closing conditions and regulatory approvals.

What are the annual revenues of the Texas-based IT company acquired by VeeMost Technologies?

The Texas-based IT company generates annual revenues of approximately $10 million.

How does the acquisition of the Texas-based IT company align with VeeMost Technologies' growth strategy?

The acquisition aligns with VeeMost's strategy to expand in the Texas IT market and enhance its service offerings through the innovative approaches and customer base of the Texas company.

What significant customer does the Texas-based IT company have?

The Texas-based IT company’s largest customer is a major retailer with over 1200 stores nationwide.