XPEL Completes Acquisition Of United Kingdom Company
XPEL COMPLETES ACQUISITION OF UNITED KINGDOM COMPANY
– Supports International Product Design Activities –
– Enhances Global Distribution for New XPEL Paint Protection Film and Tools –
– Adds Installation Facility and European Training Center –
San Antonio, Texas – November 20, 2007 – XPEL Technologies Corp. (TSXV: DAP.U) announced today the completion of the acquisition of Paintshield Limited (“Paintshield”) through the purchase of 100% of Paintshield shares. Paintshield was founded in May 2003 and has served as both an XPEL product dealer and as the design arm for XPEL’s European pattern development activities. Paintshield also operates a successful retail and dealership installation business from its facilities in Grantham, England. Paintshield owns minority joint venture interests in various affiliates who currently offer the XPEL product line in the markets of France, Italy, Greece (Balkans), S.E. Asia, and Australia. Paintshield and its affiliates will serve as distribution channels for the new XPEL Paint Protection Film and complete line of installation tools recently introduced by XPEL.
XPEL Chief Executive Officer, Steven J. McAuley, stated, “The addition of Paintshield and its affiliates into XPEL’s operations is an extremely positive step forward for our Company and will certainly accelerate our growth model. Not only do we add immediate top-line revenues, but we add market channels into various parts of the world, giving us the ability to distribute our recently introduced XPEL paint protection film and associated installation tools.” Mr. McAuley further added, “The U.K.-based Paintshield Team brings us excellent broad-based market knowledge and top-tier managerial experience to assist us to rapidly grow our global footprint.”
Consideration paid to Paintshield included approximately US$147,000, as well as the issuance of 423,812 shares of XPEL common stock. Additional shares of common stock purchase warrants may be issued in the future pending the achievement of certain growth milestones during fiscal 2008, 2009, and 2010, and achievement of certain integration timelines.
Tom Wakeford of Paintshield stated, “This is the culmination of a joint approach that both companies envisioned some time ago, and will form a major stepping stone in our development plans for various markets. We have an exceptional reputation for customer service and quality of delivery, and the bringing together of these two greatly respected companies will allow us to extend our breadth and depth of market penetration. The untapped potential in the European and Asian markets necessitated the creation of a truly global operation, and this move puts us on the road to making our respective long-standing strategic and tactical objectives a reality. We are extremely excited by what we can now deliver as part of the global XPEL team.”
About XPEL Technologies Corp.
With distribution channels in North America, Europe, Asia, the Middle East and Australia, XPEL Technologies Corp. is the worldwide leading supplier of automotive survival products. XPEL sells paint protection film, headlamp protection products and installation tools and is the developer of the Design Access Program software. XPEL sells its products directly to consumers and installer partners, providing them everything they need to develop a thriving paint protection business. In addition to its expansive line of products, the Company offers installation training and marketing support, making it the premier source for dealers and installers of paint protection products. XPEL is publicly traded on the TSX Venture Exchange. Additional information can be found on the Company’s website at www.xpel.com.
The TSXV has not reviewed and does not accept responsibility for the adequacy and accuracy of this information.
Chief Executive Officer
John Nesbett/Jennifer Belodeau
Institutional Marketing Services (IMS)