DecisionPoint builds a Strong Software and Professional
Ken Nagy, CFA
On August 6, 2012,
DecisionPoint Systems, Inc. (
, the Foothill Ranch, California based enterprise mobility and RFID
systems integrator, reported that effective, July 31, 2012, it
acquired Illume Mobile Software ("Illume Mobile).
The Tulsa, OK based Illume Mobile, a division of MacroSolve, Inc.,
was purchase for a price of $1.0 million of which $250,000 was paid
in cash at closing.
The balance of $750,000 was paid with the issuance of 617,284
shares of DecisionPoint common stock. It should be noted that the
amount of shares issued was based upon the weighted average closing
price of the Company's stock of $1.215 for the 20 trading days
prior to July 31, 2012.
Similarly, the terms of the purchase agreement call for potential
additional consideration of up to $500,000, payable 50% in cash and
50% in stock, the amount of which will be determined by the
achievement of specific net revenue targets by Illume Mobile
through July 31, 2013.
Illume Mobile has patent protected domain expertise in developing
Enterprise mobile software for Android and Apple (iOS) mobile
devices which helps solidify DecisionPoint's development and
delivery capabilities in this expanding mobile software development
Moreover, the acquisition allows the Company to offer the full
range of mobile solutions to meet the requirements of any
enterprise mobility strategy as well as fill out the Company's
North American geographic service presence in the growing
Southwestern United States market.
Likewise, through its three acquisitions over the past 19 months
(CMAC, Apex and Illume) , DecisionPoint has built a strong
software and professional services group with capabilities to
provide leading edge technology solutions and support for all of
the Company's customer installations.
It's important to note that going forward; management expects
revenues from Professional Services and Software, including Illume,
to be in excess of 35 percent.
Furthermore, this group generates higher margins than other
DecisionPoint divisions as well as provides a clear competitive
differentiator in the marketplace.
The Illume Mobile team will be led by Mark Jones and Brett
Williams. Mark Jones will serve as DecisionPoint's Vice
President, Professional Services while Brett Williams, who will
lead a team of sales and solution engineers, has been named Vice
President, Professional Services Sales.
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