The Finx Group Acquires Internet Marketing Company
ELMSFORD, N.Y.--(BUSINESS WIRE)--July 27, 2000--Lewis S. Schiller, vice chairman and chief executive officer of The Finx Group Inc. (Nasdaq: FXGP), Thursday announced that it has concluded the agreement to acquire a controlling interest in Shopclue.com Inc. in exchange for 1,030,000 shares of Finx Group common stock.
The acquisition is expected to close July 27, 2000.
Shopclue.com, based in Armonk, N.Y., is an Application Service Provider that enables small- and medium-sized businesses (merchants) to establish an online presence rapidly and inexpensively by using its proprietary software, according to Blake Schiller, founder and president of the company.
Such software also allows its customers to create, edit and maintain advanced, interactive websites without having any prior knowledge of web-based programming languages. The company has five pending patents on its software, he added.
"Although there are numerous ways for businesses to establish an online presence," Blake Schiller commented, "we believe those solutions are technically challenging and too expensive for the typical off-line small- and medium-sized merchant who is not technically savvy. Shopclue.com's concept has proved to be the answer for them."
Shopclue.com was formed in July 1999, and now has more than 30 employees. It is headquartered at 84 Business Park Drive (Suite 202) in Armonk, NY 10504. Since beginning a test of its concept in Westchester County, N.Y. last Jan. 10, 2000, it has already secured more than 275 merchant customers with an advertising expenditure of only $5,000.
Blake Schiller, who developed the Shopclue concept, will continue to serve as president under an employement agreement having significant earn-up provisions. He is the son of Lewis S. Schiller who is vice-chairman and chief executive officer of the Finx Group, formerly Fingermatrix Inc.
Shopclue.com becomes the sixth operation embraced by The Finx Group, the others being two electronic equipment companies, an electronic fignerprinting concern and Starnet365.com Inc., a recently incorporated subsidiary which enables individuals, utilizing a viral marketing approach, to form their own e-commerce websites.
The Finx Group, through its subsidiary, Secured Portal Systems Inc., has an exclusive marketing agreement covering the most advanced unattended portals capable of blocking access to sensitive areas for anyone carrying a knife, gun or other contraband.
Note: Any statements contained in this release that are not statements of fact may be considered "forward-looking statements" as that term is defined under U.S. Federal security laws. Forward-looking statements are only predictions and may differ materially from actual events or results.
CONTACT:
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Gordon Molesworth, 520/625-0550
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