LOS ANGELES, Sept. 19 /PRNewswire-FirstCall/ -- En Pointe Technologies, Inc. , a leading national provider of business-to-business information technology products, services and solutions, today announced that it has entered into a definitive agreement to acquire 70% of the stock of two privately-owned Pakistan companies that provide business process outsourcing ("BPO") services. The transactions are expected to close on or prior to October 4, 2006. Ovex Technologies (Private) Limited ("OvexUS") has provided offshore services to En Pointe and other customers since 2003, while a related company that was formed in July 2005, Ovex Pakistan (Private) Limited ("Ovex Domestic") serves the domestic Pakistan market.
The two companies (collectively "Ovex"), headquartered in Lahore, also have offices in Islamabad and Karachi, Pakistan, and together employ more than 700 highly-skilled and trained staff members. OvexUS currently provides back office operational and financial accounting services for En Pointe directly as well as back office support for various U.S. customers under a contractual arrangement with Premier BPO, Inc., a variable interest entity partially owned by En Pointe. In addition, besides the growing U.S. market, Ovex believes that the Pakistan domestic outsourcing market is poised for new growth and thus formed Ovex Domestic, a sister company with the same ownership as OvexUS, to provide a dependable source of quality outsourcing and call center services for Pakistan businesses. Ovex Domestic has been providing call center services for its first customer, a large Pakistan telecommunication firm, since December 2005.
"We believe that these acquisitions will both help reduce our internal costs for back-office processing and will provide us another source of solid growth in the outsourcing market, complementing our investment in Premier BPO, Inc." said Bob Din, CEO of En Pointe. Mr. Din added, "We are very excited about the growth prospects for Ovex, particularly when leveraged with En Pointe's infrastructure and U.S. customer base. Following the closing of the acquisitions, Ovex will continue to be under the leadership of Mr. Omar Saeed, Managing Director, who has a proven record, a superior management team and over the past three years has demonstrated an ability to deliver what he promises. Mr. Saeed's success is evidenced by the fact that OvexUS has had a 100% customer retention rate since commencing operations in 2003."
"This will be a landmark transaction for the BPO industry in Pakistan. We believe that En Pointe is the first U.S. publicly-traded company to make a BPO acquisition in Pakistan," said Mr. Omar Saeed, a native Pakistani and a graduate of Brown University and Harvard Business School. Mr. Saeed further added, "We believe that Ovex, (http://www.ovextech.com/), is already one of Pakistan's largest and most experienced business outsourcing providers and expect Ovex to become the first BPO enterprise in Pakistan to reach the 1,000 employee mark by the end of 2007."
"To serve the Pakistani domestic market, Ovex Domestic is being positioned to become a leading supplier of BPO services, including the multinational businesses that have been recently attracted to the region. As a subsidiary of a U.S. based publicly-traded company, we believe that Ovex Domestic will be able to offer our own domestic publicly-listed companies an optimal level of performance in servicing their business transactions, including the competency, integrity and transparency expected of public companies," Mr. Saeed added.
About En Pointe Technologies, Inc.
En Pointe Technologies, Inc. provides the information technology marketplace, including mid-market and enterprise accounts, government agencies, and educational institutions nationwide, with computer hardware, software, information security, and managed and professional services. En Pointe has the flexibility to customize information technology services to fulfill the unique needs of each of its customers.
En Pointe employs SAP, Clarify(TM), and AccessPointe(TM) (an e-procurement application), proven and dependable software applications, to support its broad customer base. Founded in 1993 and headquartered in Los Angeles, En Pointe maintains an ISO 9001:2000 certified configuration center in Ontario, California and is well represented in leading national markets throughout the United States. En Pointe has the experience and the technology to help organizations simplify the management of their information technology infrastructure.
Visit http://www.enpointe.com/ to learn more.
This document contains 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. In addition, from time to time, En Pointe Technologies, or its representatives, have made or may make forward-looking statements, orally or in writing. The words "estimate," "project," "potential," "intended," "expect," "anticipate," "believe" and similar expressions or words are intended to identify forward-looking statements. Such forward-looking statements may be included in, but are not limited to, various filings made by En Pointe with the Securities and Exchange Commission, press releases or oral statements made with the approval of an authorized executive officer of the Company. Actual results could differ materially from those projected or suggested in any forward-looking statements as a result of a wide variety of factors and conditions. Reference is hereby made to En Pointe's Annual Report on Form 10-K for the fiscal year ended September 30, 2005 for information regarding those factors and conditions. Among the important factors that could cause actual results to differ materially from management's projections, estimates and expectations include, but are not limited to: changing economic influences in the industry; dependence on key personnel; actions of manufacturers and suppliers; and availability of adequate financing. Readers are cautioned not to place undue reliance upon these forward-looking statements that speak only as of the date of this press release. En Pointe undertakes no obligation to update publicly any forward-looking statements to reflect new information, events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.
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Javed Latif
Chief Financial Officer and
Sr. Vice President, Operations
En Pointe Technologies, Inc.
Phone: (310) 725-5212
Fax: (310) 725-9786
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