PRX Releases

Hyderabad, January 29: Bartronics America Inc. (BAI), a Delaware Corporation and a wholly owned subsidiary of Bartronics India Limited on Tuesday announced acquisition of assets of US-based Proximities Inc. and Software Research Group (SRG) America Inc. The total cost of the deal is pegged at US $50 million.

The strategic acquisition by BAI will help it develop and deploy radio frequency identification (RFID)-based applications to streamline traditional RFID based services, such as access control, age verification, identity management, and other new and expanded RFID applications for its clients.

Ronald R. Carney, former CEO of Proximities, Inc. will now function as CEO, BAI, in charge of the REID division. “The applications for this technology are endless,” said Mr. Sudhir Rao, managing director of Bartronics India Limited.  “Combining our flexible, efficient, and deep service offerings with Proximities’ technology will allow our clients to reduce the friction points associated with RFID based transactions and improve customer service.  We are excited to have Mr. Carney as CEO, a very experienced chief executive, to spearhead our RFID management team”.

Mr. Carney said, “Bartronics is a fast growing and exciting company, with existing products and technology in the global RFID space.  By combining our products, technologies and know-how, BAI will value add to its existing portfolio of world-class product range and solutions to an expanding base of clients and customers.”

Proximities, Inc. is a privately held company headquartered in Melbourne, FL. The Company develops; markets and supports secure RFID cashless payment, access control and age verification solutions. Proximities’ proprietary technologies enable faster, more efficient and more secure transactions.

The acquisition of Proximities will enable BAI to produce RFID wristbands which eliminate the need for drivers to stop to pay tolls, link the wristbands to a credit card or debit account enabling consumers to purchase items without exchanging cash, and such other solutions.  Other solutions include access control and identity management.

Acquisition of SRG America Inc. gives BAI a strategic advantage in terms of enhanced customer base located in the US. Headquartered in Iselin, New Jersey, SRG is a leading multinational company with a market base developed over the past decade.

About Bartronics India Ltd

Bartronics America Inc. is a wholly-owned subsidiary of Bartronics India Limited (BIL), a leading provider of solutions based on Automatic Identification and Data Capture (AIDC) technologies and smart cards in India. BIL also has another wholly-owned subsidiary viz. Bartronics Asia Pte Ltd., based in Singapore which began operations in January 2008. With the two overseas entities starting their operations this month, Bartronics is now firmly placed to exploit business opportunities across the Indian, American and the South Asian Markets.

In the month of January 2008, BIL had successfully raised US$ 50 Million through an FCCB issue to fund the acquisitions and its overseas ventures. Recently, the company declared its results for the third quarter ending December 2007. Revenue and profits have increased significantly (over 200%) during the quarter as the earlier investments made by the company have started delivering results.