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NewMarket Technology Inc. to Acquire Brazilian Systems Integrator, Reduce Overhead, Increase Profits and Shrink Fully Diluted Issued and Outstanding.

DALLAS -- Impending Cash Acquisition Signals NewMarket's Shift Away from Stock Acquisitions; Planned Consolidation Demonstrates Profit Focus

NewMarket Technology Inc. (OTCBB:NMKT) today released an update on the previously announced acquisition of UniOne Consulting of Sao Paulo, Brazil in an all cash transaction. UniOne is a technology service provider supporting the integration and maintenance of enterprise software applications to include SSA (Nasdaq:SSAG), Hyperion (Nasdaq:HYSL), Microsoft (Nasdaq:MSFT) and Oracle (Nasdaq:ORCL).

NewMarket and UniOne previously completed an extensive due diligence exercise with a plan to finalize the transaction by November 1st subject to legal and audit review. The finalization of the acquisition is currently pending the audit completion.

"After posting five year revenue growth of over 18,000 percent from 2000 to 2004 and with continued growth into 2005 to a profitable annualized revenue run rate of $60 million, we are now putting a strong emphasis on improving profits and limiting the use of stock in future acquisitions," said Philip Verges, CEO of NewMarket. "Our ability to execute this substantial acquisition in Brazil with cash should send a strong signal to the market regarding NewMarket's commitment to shift away from stock acquisitions. With the addition of UniOne, NewMarket achieves critical systems integration operational mass and in turn has the ability to implement a cross leveling of systems integration operational assets to ultimately reduce our operating overhead and increase profitability. With our plan to internally consolidate systems integration operations, NewMarket preferred stock previously paid in the acquisition of systems integration companies will be exchanged for stock in a new NewMarket systems integration subsidiary. This exchange of NewMarket preferred for subsidiary systems integration stock will reduce the future issue of NewMarket common stock accounted for in the fully diluted issued and outstanding."

NewMarket Technology Inc. was recently named the 13th fastest growing technology company in North America in the 2005 Deloitte Technology Fast 500.

The Company has planned its 4th Annual Shareholder Town Hall meeting for December 15th in Boca Raton, Florida at the Marriott Town Center. The agenda will include the Company's 2005 financial performance and the status on each of its portfolio developing technologies. Management anticipates a revenue heavy third and fourth quarter with greater than 100% revenue growth in 2005 over last year's profitable $25 million in revenue. The agenda will also include the Company's geographic expansion plans into China and Latin America and an overview of the expected continued rapid growth into 2006 and 2007. Following the late afternoon meeting, the Company will provide dinner for all attendees and further opportunity to discuss the Company's performance and plans with management. Please contact Jessica Burnett at or 214-722-3063 if you plan to attend the meeting.

About UniOne (

UniOne is a systems integration, developer and business practice implementation company located in Sao Paulo and Rio de Janeiro, Brazil, as well as a regional office in Santiago de Chile, Chile. It is a key partner of SSA, Hyperion, Microsoft and Oracle, with over 340 employees and over 150 customers.

About NewMarket Technology Inc. (

NewMarket Technology Inc. is a Systems Innovation Company. NewMarket has combined a traditional systems integration and support services capacity with a specialized asset-based approach to assisting its clients with the delicate balance between maintaining legacy systems and gaining a competitive edge from the latest technology innovations. NewMarket provides certified integration and maintenance services to support the prevailing industry standard solutions to include Microsoft (Nasdaq:MSFT), Cisco Systems (Nasdaq:CSCO) and Sun Microsystems (Nasdaq:SUNW). At the same time, NewMarket continuously seeks to acquire undiscovered emerging technology assets to incorporate into an overall product portfolio carefully packaged to complement the prevailing industry standard solutions. NewMarket's emerging technology portfolio includes products for the Telecommunications, Healthcare, Homeland Security and Financial Services industries. NewMarket delivers its portfolio of products and services through its global network of Solution Integration subsidiaries in North America, Latin America, China and Singapore. As a Systems Innovator, NewMarket has set itself apart from the systems integration market through the introduction of a technology business model that monetizes the value of emerging technologies to improve corporate profits and enhance shareholder value with the regular issue of dividends.

This press release contains statements (such as projections regarding future performance) that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to those detailed from time to time in the Company's filings with the Securities and Exchange Commission.
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Publication:Business Wire
Article Type:Company Profile
Date:Nov 4, 2005
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