INEO Tech Corp. (TSXV: INEO) (OTCQB: INEOF) (the “Company” or “INEO”), the innovative developer of the INEO Media Network, a digital advertising and analytics solution for retailers, today announced it has acquired the assets of Securitytags.com from Vitag PVT Ltd. (“Vitag”), a leading Australian-based provider of Electronic Article Surveillance (EAS) anti-theft products for retailers. Vitag previously operated Securitytags.com as a wholly owned subsidiary focused on providing online sales of Electronic Article Surveillance (EAS) anti-theft products to retailers in the US market. Under the terms of the purchase agreement, INEO has acquired the Securitytags.com domain name, website, inventory, customer list and social media accounts.
“INEO has an immense opportunity in the US market and this acquisition will help accelerate the Company’s eCommerce sales and expand our reach in that market,” said Kyle Hall, CEO of INEO. “Securitytags.com is a recognized brand name and has a strong list of US-based customers who have purchased EAS products in the past, thereby providing INEO with immediate revenues and potential for future cross-sell opportunities for its innovative INEO Welcoming System.”
INEO is now operating the Securitytags.com website (www.securitytags.com) with a full line of security tags, labels and deactivators and will soon be adding the Company’s own INEO Clarity EAS system, the next generation (patent pending) INEO Welcoming G.A.T.E. pedestal and the patented INEO Welcoming System. Securitytags.com offers convenient and cost-effective online ordering and fulfillment for US based retailers.
Greg Watkin, INEO’s founder and President commented, “Deploying capital through organic acquisitions is a key part of our long-term strategy to cost effectively gain access to retailers with whom we will deploy the advertising and analytics abilities of the INEO Welcoming System and the INEO Media Network. We expect this transaction will create operational synergies and enhance shareholder value.”
INEO is also pleased to announce the unveiling of its new US-based staging warehouse located in Vancouver, Washington. The staging warehouse, which is run by a contract partner, is being used to speed up the shipping times for INEO’s products into the US. INEO’s products are CUSMA tariff-free as they are manufactured in Canada, however, current customs clearance times have been impacting the timeliness of deliveries, making the US warehouse a necessity for ensuring timely delivery. The acquired inventory from Securitytags.com will also be stored and shipped from this new warehouse in Vancouver, Washington. The new Securitytags.com website, in conjunction with the US based warehouse facility, positions INEO as an emerging eCommerce platform for EAS security solutions for retailers, with the ability to ship its products within 48 hours to anywhere in the continental US.