Currency Exchange International Closes Transaction with U.S. Exchange House
March 28 2014 - 4:52PM
Marketwired
Currency Exchange International Closes Transaction with U.S.
Exchange House
TORONTO, ONTARIO--(Marketwired - Mar 28, 2014) - Currency
Exchange International, Corp. (the "Company")
(TSX:CXI)(OTCBB:CURN), further to its press release dated March 20,
2014, announces today that its subsidiaries, Currency Exchange
International America Corp. and Currency Exchange International of
Canada Corp., have closed the acquisition of certain assets of U.S.
Exchange House, Inc. ("USEH") pertaining to the wholesale banknote
operations located in the United States of America and Canada. CXI
paid USD$2.35 million in cash on closing along with two additional
contingent payments of up to USD$1.325 million payable on the first
and second anniversary after closing. These additional payments
will be based on the amount of revenue generated from the customers
acquired. The assets acquired from USEH will be merged and
integrated into the Company's current banknote business and will
continue to use the Currency Exchange International, Corp. brand
name. Operational efficiencies are expected by the Company's
management due to the very similar business operations and overlap
of back office functions and the hiring of some USEH currency
trading staff. CXI expects to continue to grow its banknote
business due to the increased customer base.
About U.S. Exchange
House, Inc.
USEH operated its wholesale banknote and related businesses in
Los Angeles and Toronto. Its quality service led to a portfolio of
many loyal clients. USEH traders include a team of professionals
with complementary skills and strength.
About Currency Exchange
International, Corp.
The Company is in the business of providing a range of foreign
currency exchange and related products and services in North
America, including the Hawaiian Islands. Primary products and
services include the exchange of foreign currencies, wire transfer
payments, purchase and sale of foreign bank drafts and
international traveler cheques, and foreign cheque clearing.
Related services include the licensing of proprietary FX software
applications delivered on its web-based interface, www.ceifx.com
("CEIFX"), and licensing retail foreign currency operations to
select companies in agreed locations.
The Company's services are provided in Canada by its wholly
owned subsidiary, CXIC, based in Toronto, Canada through the use of
CEIFX.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
This press release includes forward-looking information
within the meaning of applicable securities laws. This
forward-looking information includes, or may be based upon,
estimates, forecasts and statements as to management's expectations
with respect to, among other things, successful completion of the
asset acquisition, continued growth of the Company's banknote
business, increase in net revenues based on the acquisition, demand
and market outlook for wholesale and retail foreign currency
exchange products and services, proposed entry into the Canadian
financial services industry, future growth, the timing and scale of
future business plans, results of operations, performance, and
business prospects and opportunities. Forward-looking statements
are identified by the use of terms and phrases such as
"anticipate", "believe", "could", "estimate", "expect", "intend",
"may", "plan", "predict", "preliminary", "project", "will",
"would", and similar terms and phrases, including references to
assumptions.
Forward-looking information is based on the opinions and
estimates of management at the date such information is provided,
and on information available to management at such time.
Forward-looking information involves significant risks,
uncertainties and assumptions that could cause the Company's actual
results, performance or achievements to differ materially from the
results discussed or implied in such forward-looking information.
Actual results may differ materially from results indicated in
forward-looking information due to a number of factors including,
without limitation, the competitive nature of the foreign exchange
industry, currency exchange risks, the need for the Company to
manage its planned growth, the effects of product development and
the need for continued technological change, protection of the
Company's proprietary rights, the effect of government regulation
and compliance on the Company and the industry in which it
operates, network security risks, the ability of the Company to
maintain properly working systems, theft and risk of physical harm
to personnel, reliance on key management personnel, global economic
deterioration negatively impacting tourism, volatile securities
markets impacting security pricing in a manner unrelated to
operating performance and impeding access to capital or increasing
the cost of capital, and the regulatory approval process for a new
Canadian Schedule I bank, as well as the factors identified
throughout this press release and in the section entitled "Risks
and Uncertainties" of the Company's Management's Discussion and
Analysis for Three-Month Period Ended January 31, 2014. The
forward-looking information contained in this press release
represents management's expectations as of the date hereof (or as
of the date such information is otherwise stated to be presented),
and is subject to change after such date. The Company disclaims any
intention or obligation to update or revise any forward-looking
information whether as a result of new information, future events
or otherwise, except as required under applicable securities
laws.
The Toronto Stock Exchange does not accept responsibility for
the adequacy or accuracy of this press release. No stock exchange,
securities commission or other regulatory authority has approved or
disapproved the information contained in this press release.
Currency Exchange International, Corp.Randolph W. PinnaPresident
and Chief Executive
Officer407.240.0224Randolph@ceifx.comwww.ceifx.com
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