OneSoft Acquires Integrity Management Business Operations and Software Products from Bass Engineering
OneSoft Solutions has announced the acquisition of Bass Engineering's Integrity Management operations, effective July 1, 2022. This acquisition includes key intellectual property and software assets related to risk management, specifically aimed at high consequence areas in pipeline operations. OneSoft plans to transition these operations into a software-as-a-service model, leveraging cloud technology for enhanced data management and risk assessment. The total payment includes $375,000 in cash and 1,828,125 shares over three years. This move aims to enhance OneSoft's offerings and accelerate market plans.
- Acquisition of proven Bass Engineering IM operations enhances OneSoft's risk management capabilities.
- Transitioning to a software-as-a-service model could increase revenue and scalability.
- Access to a highly experienced team from Bass Engineering to support technology integration and market expansion.
- Operating expenses for the acquired operations are expected at approximately $1.3 million over the next 12 months, which may strain short-term profitability.
EDMONTON, AB and TULSA, OK / ACCESSWIRE / June 23, 2022 / OneSoft Solutions Inc. (TSX-V:OSS)(OTCQB:OSSIF) ("OneSoft") and its OneBridge operating subsidiaries ("OneBridge") and Bass Engineering ("Bass Engineering"), along with its parent company, MESA Products, Inc., are pleased to announce OneBridge's acquisition of Bass Engineering's Integrity Management business operations ("IM Operations"), including intellectual property and assets associated with RIPL risk and high consequence area management software solutions. OneBridge assumes operational control of IM Operations effective July 1, 2022. The TSX Venture Exchange has provided its Final Acceptance in respect of this Expedited Acquisition.
OneSoft President, Brandon Taylor, added, "Given our strategy to keep adding to the CIM platform to address customer demands, we are constantly considering ‘build vs buy' alternatives to progress our technology and products roadmaps. Incorporation of the Bass Engineering IM business into OneBridge is highly beneficial for two reasons - it provides customer-proven risk concepts to incorporate into CIM Risk Management based on C-FER's quantitative risk models, operating on Microsoft's cloud platform. This acquisition also provides a highly experienced team of employees with deep domain expertise who can help us accelerate our go-to-market plans with OneBridge risk solutions."
About IM Operations
IM Operations' software products were originally developed in the late 1990's, which later evolved into Bass-Trigon Software following collaboration with Bass Engineering, a U.S. leader of engineered cathodic protection services for oil and gas ("O&G") customers. IM Operations technology, products and business operations were subsequently purchased by Corrpro Companies and thereafter by American Innovations, who continued to enhance the intellectual property, technology and solutions in collaboration with Bass Engineering, with particular emphasis on asset risk mitigation in high consequence areas ("HCAs") such as environmentally sensitive, highly populated and potable water reservoir areas. HCAs require unique operational processes as mandated by the Pipeline Safety Act of 2002, largely governed by US DOT regulations as defined in 49 CFR 192 and 195 and in accordance with operational mandates of various state regulatory agencies. To maintain operational compliance, pipeline operators are required to conduct specific risk assessments, including determination of consequence of failure events within HCAs, for hazardous liquid and natural gas pipelines and storage facilities.
Terry May, President of MESA Products, Inc., expressed his confidence in the transition, stating, "In considering how to best serve our customers following our acquisition of Bass Engineering, we determined that the best path forward is to continue excelling at our core business operations while enabling software experts to grow the IM operations. We believe the OneBridge team is leading the pack in its efforts to modernize computing and data analytics for pipeline operators and have great confidence that their efforts to advance risk management solutions and provide continued customer services will be beneficial for all stakeholders."
Andy Florence, Director of IM Operations commented, "OneBridge's cloud data platform aggregates multiple data sets in a single database that have historically been kept in siloed data systems, which makes CIM the ideal system of record for integrity management data and analysis. This is unique amongst pipeline integrity management software and highly beneficial for pipeline engineers, who can easily ingest and align the numerous data sets they need to review and analyze to perform integrity and asset management. Accordingly, CIM also provides the ideal environment to leverage and progress our technology, products and risk management processes for pipeline operators."
Mr. Florence continued, "Quantitative and probabilistic risk assessments, as recommended by the latest PHMSA operational and regulatory guidelines, improve significantly when more data is aligned and analyzed. Amalgamation of expertise and software will provide an excellent upgrade path for existing Bass Engineering customers who currently use RIPL risk and HCA analysis solutions to progress to CIM, which is the leading and proven cloud-based, SaaS solution with machine learning capability that serves the industry today. This union of companies and collaboration of efforts will facilitate an accelerated path to achieve a comprehensive quantitative risk solution for customers and advance their risk assessment efforts."
OneSoft intends to integrate all IM Operations employees and business operations into its OneBridge operating companies and incorporate applicable Bass Engineering integrity management software concepts into the Cognitive Integrity ManagementTM ("CIM") Risk Management module that is currently under development at OneBridge. While sales and revenue of the current IM Operations have largely been dependent on consulting services to date, OneSoft's intention is to transition that software and service deployment strategy to a software-as-a-service ("SaaS") model wherein expertise currently provided by consultants is incorporated into CIM's cloud-based software platform, leveraged by advanced data science and machine learning. The objective is to develop the next generation of risk solutions by incorporating the deep domain expertise of IM Operations' team of employees, as a component of the CIM Risk solution.
Post closing, the parties intend to explore potential application of OneBridge's CIM SaaS platform to supplement certain MESA and Bass Engineering services, as collaboration in this regard may result in additional synergistic opportunities in the future.
About the Transaction
Management of the parties believe that acquisition of IM Operations will be particularly beneficial for users of RIPL and HCA software solutions as well as OneBridge customers. OneBridge has acquired all applicable IM Operations' assets and business operations, including software technology and solutions, all assignable rights to current and prospective RIPL and HCA customers and certain computer equipment and other assets that pertain to IM Operations. IM Operations have generally been operated by a 7-person team and in the past 3 years have averaged approximately USD
About Bass Engineering
Bass Engineering, based out of Longview, Texas, has been in business since 1967 and has become a regional leader in cathodic protection and corrosion control. Their customer-centric philosophy results in a solutions-oriented approach to providing reliable asset protection. MESA acquired Bass Engineering in January 2022.
MESA Products, Inc., headquartered in Tulsa, Oklahoma, operates three business units that each serve to assist customers in protecting critical infrastructure across the United States.
About OneSoft and OneBridge
OneSoft has developed software technology and products that have capability to transition legacy, on-premises licensed software applications to operate on the Microsoft Azure Cloud Platform. Our business strategy is to seek opportunities to incorporate Data Science and Machine Learning, business intelligence and predictive analytics to create cost-efficient, subscription-based software-as-a-service solutions. Visit www.onesoft.ca for more information.
OneSoft's wholly owned subsidiary, OneBridge Solutions Canada Inc., develops and markets revolutionary new SaaS solutions that use advanced Data Sciences and Machine Learning to analyze big data using predictive analytics to assist Oil & Gas pipeline operators to predict pipeline failures and thereby save lives, protect the environment, reduce operational costs, and address regulatory compliance requirements. Visit www.onebridgesolutions.com for more information.
For more information, please contact.
| OneSoft Solutions Inc. Dwayne Kushniruk, CEO dkushniruk@onesoft.ca 587-416-6787 | Sean Peasgood, Investor Relations Sean@SophicCapital.com 647-494-7710 |
Forward-looking Statements
This news release contains forward-looking statements relating to the future operations and profitability of OneSoft Solutions Inc. (the "Company") and other statements that are not historical facts. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expects", "believe", "will", "intends", "plans" and similar expressions. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Such forward-looking information is provided to deliver information about management's current expectations and plans relating to the future. Investors are cautioned that reliance on such information may not be appropriate for other purposes, such as making investment decisions.
In respect of the forward-looking information and statements the Company has placed reliance on certain assumptions that it believes are reasonable at this time, including expectations and assumptions concerning, among other things: the impact of Covid-19 on the business operations of the Company and its current and prospective customers; the availability and cost of labor and services; the efficacy of its software; our interpretation based on various industry information sources regarding the total miles of pipeline in the USA and globally and which segments are piggable; our understanding of metrics, activities and costs regarding evaluation, inspection and maintenance is in alignment with various industry information sources and is reasonably accurate; that counterparties to material agreements will continue to perform in a timely manner; that there are no unforeseen events preventing the performance of contracts; that there are no unforeseen material development or other costs related to current growth projects or current operations; the success of growth projects; future operating costs; interest and foreign exchange rates; planned synergies, capital efficiencies and cost-savings; the sufficiency of budgeted capital expenditures in carrying out planned activities; and no changes in applicable tax laws. Accordingly, readers should not place undue reliance on the forward-looking information contained in this press release. Since forward-looking information addresses future events and conditions, such information by its very nature involves inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to many factors and risks. These include but are not limited to the risks associated with the industries in which the Company operates in general such as: costs and expenses; interest rate and exchange rate fluctuations; competition; ability to access sufficient capital from internal and external sources; and changes in legislation, including but not limited to tax laws.
Readers are cautioned that the foregoing list of factors is not exhaustive. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release, and the Company undertakes no obligation to update publicly or to revise any of the included forward-looking statements, whether because of new information, future events or otherwise, except as expressly required by Canadian securities law.
This news release does not constitute an offer to sell or the solicitation of an offer to buy any securities within the United States. The securities to be offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, or any state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of such Act or other laws.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
SOURCE: OneSoft Solutions Inc.
View source version on accesswire.com:
https://www.accesswire.com/706274/OneSoft-Acquires-Integrity-Management-Business-Operations-and-Software-Products-from-Bass-Engineering
FAQ
What is the significance of OneSoft's acquisition of Bass Engineering's IM operations?
When will OneSoft's acquisition of Bass Engineering take effect?
How much did OneSoft pay for Bass Engineering's IM operations?
What are the expected benefits of the acquisition for OneSoft's customers?
What is OneSoft's future plan following the acquisition?
