Toronto-based CYBERplex signed a Letter of Intent to pursue a business combination with Webworks Worldwide of Halifax, Nova Scotia in a stock transaction of 7.5 million shares.
The transaction is subject to regulatory approval, shareholder consent, and the signing of a definitive agreement.
By combining, CYBERplex will maintain its historical track record of at
least 300% annual growth. In addition, it is expected that the companies
will be able to streamline costs and be well positioned for U.S. expansion.
“This transaction will combine the resources of two leading Canadian players
in the Internet professional services industry,” said Vernon Lobo, CYBERplex
Chairman. “The resulting firm will have a critical mass of consulting, technical and creative talent to tackle the largest and most challenging client projects.”
The new entity will apply for a listing on a more senior stock exchange that will enhance its ability to obtain private financing to fund U.S.
growth, subsequent acquisitions, development of software solutions, and working capital requirements.
CYBERplex and Webworks have been active since 1994. Some of North America’s
largest and most successful companies have been brought online by the
companies, including: Scotiabank, Bell Mobility, CTV Sports, Labatt Breweries, Sony Canada, Eatons, Sprint Canada, and Maclean Hunter.