Emergent Completes KeyCom Acquisition.Business Editors PHOENIX--(BUSINESS WIRE)--Sept. 27, 2001 Emergent Financial Group, Inc. (OTCBB OTCBB See OTC Bulletin Board (OTCBB). :EGFG) announced today that it has completed the acquisition of KeyCom, Inc. of Westlake Village, Calif. Emergent is a Delaware corporation A Delaware corporation is a corporation chartered in the U.S. state of Delaware. Delaware is well known as a corporate haven, and thus, over 50% of US publicly-traded corporations and 58% of the Fortune 500 companies are incorporated in the state. specializing in fee-based transaction data processing data processing or information processing, operations (e.g., handling, merging, sorting, and computing) performed upon data in accordance with strictly defined procedures, such as recording and summarizing the financial transactions of a for non-bank consumer financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. . Services are generally distributed electronically nationwide through point-of-sale technologies. "We are very excited about the integration of KeyCom and its proprietary software and systems into Emergent," said Jason Galanis Jason Woodruff Galanis, (b. 1970) at New York Hospital on the Upper East Side of Manhattan, and raised in Greenwich, Connecticut, is an investor in financial technology companies and trademark inventions since 1988 and is currently a principal of Holmby Companies. , Emergent's President and Chief Executive Officer. "Emergent's primary business is to assist the expansion of KeyCom by implementing KeyCom's existing contracts with established distribution partners who currently have over 40,000 retail locations." The acquisition of KeyCom will permit Emergent to compete as the low cost provider in the large, rapidly growing international cash remittance Money sent from one individual to another in the form of cash, check, or some other manner. Financial statements sent by a creditor to a debtor frequently refer to the process of submitting a monthly remittance. REMITTANCE, comm. law. industry. The US Federal Reserve estimates that $40 billion in international cash remittances originated in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. in 2000 through 70 million transactions. The market is expected to grow by 15% per year to $80 billion by 2005. The principal market for these services are the Hispanic and other ethnic communities in the United States that regularly transfer a portion of their wages to relatives in home countries several times a month, usually in amounts of $300 or less. Consumers pay KeyCom a service fee averaging $18.65 per transaction, which management believes is 40% less than other available services. KeyCom partners with merchants to deliver its services by offering participation in all transaction fees. Emergent acquired 100% of the stock of KeyCom in consideration for $26,000,000 in cash and preferred securities. For more information, please see public filings with the SEC at www.edgar.gov. About KeyCom Keycom has developed proprietary transaction processing Updating the appropriate database records as soon as a transaction (order, payment, etc.) is entered into the computer. It may also imply that confirmations are sent at the same time. Transaction processing systems are the backbone of an organization because they update constantly. software and related systems branded as XTRAN XTRAN - Fortran-like, interactive language. (TM) that permit the collection and subsequent instantaneous remittance of cash to remote locations throughout the world. The XTRAN technology provides the same full range of services as traditional cash remittance companies at significantly reduced costs. In addition, XTRAN is fully web-enabled and its software is downloadable to credit card merchant terminals. The core of the system is the Automated Bank Capture and Settlement Software (ABCss), which is able to record cash-based transactions at point-of-sale in a globally distributed geographic network utilizing industry standard credit card merchant terminals. It then transmits the digitized transaction information to any other destination in the world using the Internet, thereby allowing immediate disbursement DISBURSEMENT. Literally, to take money out of a purse. Figuratively, to pay out money; to expend money; and sometimes it signifies to advance money. 2. of the funds to a third party upon presentation of proper identification. The expatriate community in the United States is estimated to account for the majority of the $40 Billion in international cash transmissions originating from the US in 2000, a market growing at 15% annually. The Company derives its revenues from transaction processing fees, net of commissions paid to certain selling agents. More Information on KeyCom and XRAN is available at www.XTRANsystem.com. About Emergent Financial Group Emergent is a financial services holding company, which owns and invests in transaction processing companies that provide non-traditional financial services, including services distributed through Point-of-Sale technologies. The Company is principally engaged in building a distribution network for non-bank financial services delivered through counter-top point-of-sale technologies in retail locations throughout the country and in selected overseas locations. A principal objective of Emergent is to establish and expand a ubiquitous delivery platform capable of generating multiple revenue streams from each retail location. Emergent's subsidiaries generate recurring fee-based revenue by charging consumers service fees for financial services transactions, such as non-bank wire transfer services. The Company is developing other technologies that may be synergistic and can generate additional revenue through existing installed terminals such as card-based technologies and services like niche credit card, debit card debit card, card that allows the cost of goods or services that are purchased to be deducted directly from the purchaser's checking account. They can also be used at automated teller machines for withdrawing cash from the user's checking account. , chip-embedded (or `smart') card, other stored-value cards A smart card that is "loaded" with cash. See smart card. and various point-of-sale technologies. More information is available from Emergent Financial Group, Inc., Phoenix, Ariz. The statements included in this press release concerning predictions of economic performance and management's plans and objectives constitute forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. made pursuant to the safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. These statements involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors which could cause or contribute to such differences include, but are not limited to, factors detailed in Emergent's Securities and Exchange Commission filings; completion of due diligence Research; analysis; your homework. This term has caught on in all industries, because it sounds so "wired." Who would want to do analysis or research when they can do due diligence. See wired. , shareholder approval, regulatory approvals and certain other pre-closing conditions for all incomplete merger or acquisition transactions; economic downturns affecting the operations of the Company, its subsidiaries or companies proposed for merger or acquisition; the termination of previously announced acquisitions; delays or the inability to obtain regulatory approvals for previously announced acquisitions; the inability to initiate or complete any contemplated restructuring, offering, acquisition, disposition or other transaction; and the unavailability of financing to complete management's plans and objectives. The forward-looking statements contained in this press release speak only as of the date hereof and the Company disclaims any intent or obligation to update these forward-looking statements. Note to Editors: XTRAN is a registered trademark of KeyCom, Inc. All rights reserved. |
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