SOURCE: Caneum, Inc.
Jun 14, 2007 14:51 ET
Caneum, Inc. Closes Full Acquisition of Continuum Systems Pvt. Ltd.
Company Announces Approval From Indian Government to Effect the Final Completion of the Full Continuum Transaction and Closes Purchase of the Remaining 45% Minority Position That It Did Not Previously Own
NEWPORT BEACH, CA--(Marketwire - June 14, 2007) - Caneum, Inc. (PINKSHEETS: CANM), a global provider of business process and information technology outsourcing services, today announced that the Company has completed the remaining government approval process and 45% minority position purchase for the previously announced acquisition of Continuum Systems Pvt. Ltd. (since renamed to Caneum India Pvt. Ltd.).
On December 29, 2006, Caneum completed the majority acquisition of Continuum Systems Pvt. Ltd., having purchased 55% of its outstanding stock. While the purchase agreement executed detailed the full acquisition contemplated, a final approval from the Ministry of Finance Department of Economic Affairs within the Indian government was required in order to effect the remaining 45% of the transaction. Up until such governmental approval was achieved, the Company could only report 55% of the operations of Continuum Systems within Caneum's consolidated financial statements.
Alan Knitowski, Chairman of Caneum, Inc., commented, "We are pleased to have obtained the final Indian government approval on our acquisition and now own 100% of the off-shore outsourcing business subsequently renamed to Caneum India Pvt. Ltd. With the acquisition now fully closed, we will begin consolidating 100% of the underlying financials into our reporting and continue building and growing the captive off-shore business as part of our global outsourcing initiatives."
About Caneum, Inc.:
Caneum, Inc. is a global provider of business process and information technology outsourcing services across vertical industries including technology, energy, government, transportation, financial services, education and healthcare. The Company provides a suite of business strategy and planning capabilities to assist companies with their "make versus buy" decisions in the areas of data, network, product development, product maintenance and customer support, and fulfills its services in-house, on-shore, near-shore and off-shore, depending on the business goals and objectives of its global customers. In parallel, the Company is opportunistically pursuing accretive acquisitions within its core outsourcing product and service suite in order to broaden its core capabilities, expand its customer base and supplement its organic growth. For more information, please visit the Company's web site at www.caneum.com.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: With the exception of historical information, the statements set forth above include forward-looking statements that involve risk and uncertainties. The Company wishes to caution readers that a number of important factors could cause actual results to differ materially from those in the forward-looking statements. Those factors include, but are not limited to, the risk factors noted in the Company's filings with the United States Securities and Exchange Commission, such as the rapidly changing nature of technology, evolving industry standards and frequent introductions of new products, services and enhancements by competitors; the competitive nature of the markets for the Company's products and services; the Company's ability to gain market acceptance for its products and services; the Company's ability to fund its operational growth; the Company's ability to attract and retain skilled personnel; the Company's ability to diversify its revenue streams and customer concentrations; and the Company's reliance on third-party suppliers.