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Exhibit
99.1
Novume Solutions, Inc. Intends to Acquire NeoSystems
Corp.
CHANTILLY, VA / ACCESSWIRE / October 13, 2017
/ Novume
Solutions, Inc. (OTCQX: NVMM; OTCQX: NVMMP; OTCQX:
NVMMW), a holding company of leading professional services firms,
announced today that effective October 11, 2017 it entered into a
preliminary term sheet with NeoSystems Corp. which sets forth the
parties’ intent for Novume to acquire NeoSystems. NeoSystems
is a privately-held, Tysons Corner, Virginia-based company that
provides professional services and technology solutions that
deliver strategic back office support to companies and
associations.
Should
the acquisition take place, NeoSystems would become a wholly-owned
subsidiary of Novume. The total consideration for the acquisition,
which is expected to be comprised of cash, Novume restricted stock
and Novume’s assumption of certain NeoSystems’
liabilities, is anticipated to be approximately $21
million.
The
transaction is subject to customary closing conditions including
satisfactory completion of due diligence, negotiation and entry
into definitive agreements, approval of the transactions by the
Novume and NeoSystems boards of directors, and a financing
transaction.
"Acquiring
NeoSystems would be a great addition to Novume’s suite of
specialty professional services firms that focus on delivering
critical human resources and definitive knowledge to the right
place at the right time. The acquisition of NeoSystems would
significantly increase Novume's top-line revenue and would be an
important step in realizing our strategic plan to expand Novume
through acquisitions and organic growth," said Robert A. Berman,
Novume's Chief Executive Officer.
Michael Tinsley,
NeoSystems’ President and Chief Executive Officer, said,
“We are impressed with Novume’s vision and see a strong
strategic fit for NeoSystems to be a part of the Novume family of
professional services firms, and we anticipate that the
relationship will foster continued high growth and expansion of our
business.”
The
NeoSystems acquisition, if consummated, would be Novume's second
acquisition and the preliminary term sheet comes just weeks after
Novume acquired Global
Technical Services, Inc. and Global Contract Professionals,
Inc. (collectively "Global") and a little over a month
after Novume was formed through the merger of KeyStone Solutions,
Inc. and Brekford Traffic Safety, Inc. Earlier in 2017, KeyStone
acquired Firestorm
Solutions, LLC, a national leader in both risk and crisis
management, and in 2016, KeyStone acquired AOC Key Solutions, Inc., a
firm specializing in managing and writing proposals, winning
contracts, and providing market assessment services for government
contractors. Historically, Novume's subsidiary companies have
helped their clients win more than $160 billion of contracts.
Novume is expanding its suite of services to enable the company to
help its clients not only win work but perform it as
well.
The
Benchmark Company, LLC is acting as financial advisor to Novume for
the NeoSystems transaction.
Additional
information regarding the transaction is available in our Current
Report on Form 8-K filed with the Securities and Exchange
Commission (the "SEC") on October 13, 2017, and also available on
the SEC
Filings page of the Novume website.
About Novume Solutions, Inc.
Novume
is a holding company of leading professional services firms. These
firms aggregate highly-specialized, difficult-to-find talent and
have the scale and systems to deploy that talent efficiently at the
enterprise-level at a moment's notice. Novume focuses on the
logistics of procuring highly-specialized human resources and
delivering critical definitive knowledge to the right place at the
right time. Whether we manage our client's workforce or provide
them with the tools to manage their own success, they need
exceptional people with distinctive experience. We do
that.
Novume
subsidiaries have had a history of success dating as far back as
1983 and their clients include 87 of the top-100 federal
contractors as well as numerous Fortune 100 companies.
For
more information, please visit Novume.com.
About NeoSystems Corp.
NeoSystems Corp, based in Tysons Corner, Virginia, delivers
integrated strategic back office services and solutions to enable,
run, and secure commercial entities, government contractors, and
nonprofit organizations. Today, NeoSystems maintains a 97% client
retention rate, supports 700 companies and over 70,000 employees
with its outsourced services and NeoSystems' experts have
implemented hundreds of fully integrated financial and business
management systems. Utilizing best of breed technology and
leveraging in-depth domain expertise in Accounting & Finance,
IT, HR, Contract Management and Hosting (SSAE SOC1 & SOC2,
NIST/DFARS, ITAR), the Neo team enables companies to improve vital
operations, reduce their overhead costs and become compliant with
complex requirements. NeoSystems is partnered with the world's
leading software companies, including Deltek, Ultimate Software,
IBM, and others to
provide best-in-class solutions. NeoSystems is Deltek’s first
and only Platinum Partner. For seven consecutive years, NeoSystems
has been named one of America's fastest growing private companies
by Inc. Magazine.
For
more information, please visit NeoSystemsCorp.com.
Forward-Looking Statements
This press release includes statements concerning Novume Solutions,
Inc. and its future expectations, plans and prospects that
constitute "forward-looking statements" within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended. Such
forward-looking statements are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995.
For this purpose, any statements that are not statements of
historical fact may be deemed to be forward-looking statements. In
some cases, you can identify forward-looking statements by terms
such as "may," "should," "expects," "plans," "anticipates,"
"could," "intends," "target," "projects," "contemplates,"
"believes," "estimates," "predicts," "potential," or "continue," by
the negative of these terms or by other similar
expressions. You are cautioned that such statements are
subject to many risks and uncertainties that could cause future
circumstances, events, or results to differ materially from those
projected in the forward-looking statements, including the risks
that actual circumstances, events or results may differ materially
from those projected in the forward-looking statements,
particularly as a result of various risks and other factors
identified in our filings with the Securities and Exchange
Commission. All forward-looking statements contained in this press
release speak only as of the date on which they were made and are
based on management's assumptions and estimates as of such date. We
do not undertake any obligation to publicly update any
forward-looking statements, whether as a result of the receipt of
new information, the occurrence of future events, or
otherwise.
# # #
Contact:
Novume
Solutions, Inc.
Carl
Kumpf, CFO
info@novume.com
SOURCE: Novume Solutions, Inc.