CALGARY, Aug. 29 /CNW/ - Sylogist Ltd. (TSX VENTURE:SYZ) ("Sylogist" or
the "Company") is pleased to announce it has completed the acquisition of all
of the outstanding shares of privately-held Collaborative Learning Network
Inc. ("Collaborative Learning Network" or "CLN") of Edmonton, Alberta.
Collaborative Learning Network has provided information technology
solutions and support services to the higher education and K-12 education
market for more than 6 years. Thousands of students in school districts across
Canada are using CLN's Eduport Web-based education portal.
CLN has demonstrated a profitable business model generating average
annual before tax earnings of $250 thousand over the past 3 years. A
substantial portion of its revenue is recurring. CLN extends Sylogist's reach
in the K-12 educational marketplace from school and student administration to
on-line education. CLN's highly successful Eduport provides a secure and
user-friendly platform for electronic communication, collaboration, learning
resource management, and eLearning. CLN will re-locate to Sylogist's Bellamy
Software division office in Edmonton. Ken McDonald, CLN's President & CEO will
lead Sylogist's business development activities within the educational
division.
"We are very pleased to have Collaborative Learning Network join our
strong and growing K-12 educational sector business. CLN, through Ken
McDonald's leadership and his talented solution design team, has pioneered the
development of a highly successful Web-based educational platform that
provides school boards with efficient and cost effective management of
education and administrative information resources. We are confident Ken's
abilities will achieve significant growth for Sylogist in the educational
sector. CLN's success has generated excitement within the K-12 educational
community. The Eduport offerings dovetail with our current educational
administration and student information systems providing a complete portfolio
of service and product offerings for the K-12 marketplace." stated Jim Wilson,
President and CEO of Sylogist.
"CLN is very excited to join the Sylogist team! Combining the K-12
offerings of Sylogist with CLN's award-winning Eduport solution will provide
education customers with 'one-stop shopping' for their information technology
needs. The combined management, technical and financial resources of Sylogist
and CLN will accelerate business growth in the education sector across Canada
and the United States," stated Ken McDonald, President of CLN.
Sylogist is acquiring CLN for net consideration of approximately 2 times
CLN's historical EBIT, issuing 250,000 Sylogist shares priced at $2.05 per
share.
About Collaborative Learning Network
------------------------------------
Established 7 years ago in Edmonton Alberta, CLN develops, installs and
supports Eduport, a secure and user-friendly platform for electronic
collaboration, learning resource management, and eLearning. CLN provides
Eduport to school boards and organizations in Canada with current expansion
opportunities in the US market. More information on Collaborative Learning
Network can be found at www.co-learn.net.
About Sylogist
--------------
Sylogist delivers information management and technology solutions to
government and industry clients. The Company's solutions are designed to
improve productivity for both conventional computer based workers and mobile
workers. Sylogist's software solutions, along with related services are
delivered to a global base through its own sales and delivery organization, as
well as through OEM channels.
The Company's stock is traded on the TSX Venture Exchange under the
symbol SYZ. Information about Sylogist can be found at the Company's website
at www.sylogist.com.
Forward-looking statements
--------------------------
This press release contains statements about expected or anticipated
future events and financial results that are forward-looking in nature and, as
a result, are subject to certain risks and uncertainties, such as general
economic, market and business conditions, the regulatory process and actions,
technical issues, new legislation, competitive and general economic factors
and conditions, the uncertainties resulting from potential delays or changes
in plans, the occurrence of unexpected events, and Sylogist's capability to
execute and implement its future plans. Actual results may differ materially
from those projected by management.
Although Sylogist believes that the expectations reflected in these
forward-looking statements are reasonable, undue reliance should not be placed
on them because Sylogist can give no assurance that they will prove to be
correct. Since forward-looking statements address future events and
conditions, by their very nature they involve inherent risks and
uncertainties.
The forward-looking statements contained in this press release are made
as of the date hereof and Sylogist undertakes no obligation to update publicly
or revise any forward-looking statements or information, whether as a result
of new information, future events or otherwise, unless so required by
applicable securities laws.
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