Portage CyberTech Inc. Acquires OPIN TORONTO and GATINEAU, Qubec, Dec. 01, 2021 (GLOBE NEWSWIRE) -- Converge Technology Solutions Corp. (“Converge” or the “Company”) (TSX:CTS) (FSE:0ZB) (OTCQX:CTSDF) a software-enabled IT & Cloud Solutions provider, is pleased to announce its 53% owned subsidiary, Portage CyberTech Inc. (“Portage CyberTech”) has acquired OPIN Digital Inc. This is the 25th acquisition made by Converge or its affiliates and is the first acquisition made by Portage CyberTech. OPIN is a full-service Canadian digital agency focused on designing and building digital web, mobile, and app experiences to support strategic digital service goals of government and enterprise customers. OPIN will become a subsidiary of recently established Portage CyberTech, where it will also deliver modern privacy and reliable security solutions to protect data and manage digital assets.
Headquartered in Ontario with an additional presence in New York, OPIN has executed 200+ enterprise projects and has served more than 85 government and public sector clients. Portage and global security experts recognize hacker attacks can often target legacy IT systems. In response, Portage CyberTech’s market strategy includes OPIN’s globally adopted, open-source solution. OPIN’s reliable Drupal back-end framework and WebOS approach can modernize these legacy systems, creating more secure digital assets in less time than other approaches. In addition, OPIN can serve as an extension of over-worked security teams to better manage security module updates in order to protect systems and data.
“Understanding our customers’ needs and providing the right solution is what has driven our growth over the last ten years. We know the customers we serve support the same growth market as Portage and we look forward to combining our digital agency solutions with Portage CyberTech’s digital transformation expertise. We are passionate about extending our reach with Portage CyberTech and the greater Converge teams during this exciting time in our industry,” stated Chris Smith, CEO of OPIN.
“Converge is tremendously excited to bring in OPIN as part of Portage CyberTech,” stated Don Cuthbertson, CTO of Converge & CEO of Portage CyberTech. “With more than 150 countries around the world relying on Drupal for government and inter-governmental agency sites, as well as the very high percentage of public sector organizations using Drupal for digital transformation, we consider this acquisition to be a highly-strategic gateway for significant growth of our Portage Trust Platform. It is also my belief this acquisition will bolster the efforts being made by the Government of Qubec and Connexit in Gatineau, establishing the region as a major digital identity and cybersecurity innovation hub.”
Portage CyberTech combined 100% of Converge’s Becker-Carroll and Vivvo business units to create a new SaaS entity focused on cybersecurity. In October 2021, Converge announced the completion of a $35 million private placement for Portage CyberTech, of which Converge owns approximately 53%, based on a $75 million valuation. At that time, it reported its intention to use the net proceeds for acquisitions and other general corporate purposes, and the Opin acquisition is the first acquisition under the new Portage entity.
OPIN had trailing twelve-month revenue of approximately $3.6 million for the period ending September 30, 2021. The purchase price consisted of the following: (i) $4.67 million in cash at closing; (ii) up to an aggregate of $1.56 million in earn-out payments for the two years following closing of the acquisition based on the achievement of certain milestones.
OPIN marks the twenty-fifth acquisition completed by Converge or its affiliates since October 2017. Converge’s family of companies also includes Corus Group, LLC; Northern Micro, Inc.; 10084182 Canada Inc. operating as Becker-Carroll; Key Information Systems, Inc.; BlueChip Tek, Inc.; Lighthouse Computer Systems, Inc.; Software Information Systems LLC.; Nordisk Systems, Inc.; Essex Technology Group, Inc.; Datatrend Technologies, Inc.; VSS, LLC; Solutions PCD, Inc.; Unique Digital, Inc.; Workgroup Connections, Inc.; Vivvo Application Studios LTD.; Vicom Computer Services, Inc.; CarpeDatum LLC; Accudata Systems, Inc.; Dasher Technologies, Inc.; ExactlyIT, Inc.; REDNET AG; Vicom Infinity, Inc.; Infinity Systems Software, Inc.; and LPA Software Solutions, LLC.
https://www.globenewswire.com/news-release/2021/12/01/2344280/0/en/Converge-Technology-Solutions-Corp-Announces-Portage-CyberTech-Inc-Acquires-OPIN.html