CBQ To Expand China Software Outsourcing Capability With Acquisition Of EasySoft
Hunt Valley, MD—(BUSINESS WIRE)—March 1, 2001—CBQ, Inc. The E-Business Infrastructure Company, (OTCBB-CBQI-news) announced today that it has entered into a definitive agreement to acquire EasySoft International, Inc.
EasySoft International, Inc. http://www.easysoft.net
is a leading privately owned English language software outsourcing company located in Beijing, China and Miami, Florida. The all-stock non-dilutive acquisition will be accretive to the earnings of CBQ, Inc. due to the profitability provided by this complementary business unit. EasySoft will operate as a wholly owned subsidiary of CBQ, Inc. The transaction is scheduled to close no later than March 15th.
“The acquisition of EasySoft presents CBQ with a singular opportunity to be a leader in software development and outsourcing from China by allowing CBQ to competitively pursue major U.S. software contracts and outsourcing opportunities,” said Bart S. Fisher, Chairman and CEO of CBQ, Inc. “EasySoft has been successfully providing software outsourcing from its Beijing office for nearly three years. The most significant aspect of its China success story is the English language environment of the company, which will allow CBQ to execute its business plan of providing high-quality, low-cost Chinese software programming services to U.S. customers. To our knowledge EasySoft is the foremost company in China focused entirely on commercial programming in English for the American market. This is a perfect fit for CBQ’s business model. EasySoft also has a very fine business analysis team at its headquarters in Miami, which is another great asset and completely complements our business development efforts in the mid-Atlantic region. We can now focus our complete attention on business development for the software outsourcing market here in the United States and execution by our new subsidiary in China.”
“Our access to quality investment capital from the US and China is also enhanced by this transaction” Fisher added, “and we are pursuing a high quality/low cost business model in one of the fastest growing markets in the US Information Technology industry, software outsourcing. The offshore segment of this market was more than $9.5 billion in 1999 and growing at the rate of more than 40% per annum. We are extremely excited about the possibilities this opportunity will create for the combined resources of CBQ and EasySoft.”
EasySoft has an impressive roster of international clients such as Acer Group (one of the five top PC vendors in the world), Samsung, People’s Daily (Beijing, China), ABN AMRO Bank, Palm Companies, Yupi Internet, Inc., and Solectron. In addition, EasySoft is providing software outsourcing services to U.S. and state agencies, such as the U.S. Department of Agriculture, the states of Tennessee, Florida, Montana, North Carolina, Maryland, Louisiana, and others.
“Our programmers are working around the clock in a coordinated effort to deliver our clients needs on time and on budget,” said Dr. Wei Sun, EasySoft CEO. “Very few of our competitors can say this. The combination with CBQ gives EasySoft a much broader sales and marketing reach into the U.S. market while it gives CBQ the quality production facility it has been working to develop in China. We have a completely flexible and scaleable operation in Beijing which is prepared for significant growth.”
Web based software examples of EasySoft's expertise can be seen at http://www.easymarketplace.com
About CBQ, Inc.
CBQ, Inc. is a full service, end to end E-Business solution provider. Through its subsidiary Quantum Technology Group, Inc., CBQ provides custom software, including web portal design and development, networking services and security, as well as many other web-based solutions. The company also provides information technology outsourcing resources to its clients.
For more information on CBQ, Inc., visit http://www.cbq.com
This news release includes forward-looking statements related to CBQ, Inc. that involve risks and uncertainties, including, but not limited to, quarterly fluctuations in results, the management of growth, market acceptance of certain products and other risks. These forward-looking statements are made in reliance on the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995. For further information about these factors that could affect CBQ's future results, see the company's filings with the Securities and Exchange Commission (the "Commission"). Prospective investors are cautioned that forward-looking statements are not guarantees of future performance. Actual results may differ materially from management expectations.
Gary Swancey, 954-757-0582
:=) Gary Swancey
Contracted Independent Investor Relations for
CBQI & DTGI, compensated a monthly cash fee http://www.marketex.net/compensate.htm