SYS acquires video compression specialist cVideo

Published 17 November 2005

San Diego, California-based SYS Technologies (AMEX: SYS), a company providing real-time information technology solutions, is acquiring the assets of another San Diego-based company, the privately held cVideo. The initial consideration consists of approximately $1.5 million in cash, and additional consideration in the form of cash or stock may be earned subject to achieving future revenue targets. The transaction will close before the quarter ending 30 December 2005. cVideo’s revenues were approximately $2.0 million for the nine months ending 30 September 2005, with a current annual run rate of about $3.0 million. The transaction is anticipated to be accretive to earnings by the end of the current 2006 fiscal year. cVideo will be operated as a division of SYS’ Public Safety, Homeland Security, and Industrial Systems operating segment.JMAR completed the first phase of the test program in August of 2005, during which Kimpen validated the BioSentry’s ability to detect and classify E. Coli and Pseudomonas. During the final two-month test phase, the BioSentry units will continue to be used to monitor for the presence of bacteria.-read more in this company news release