CALGARY, Alberta, Sept. 19, 2022 (GLOBE NEWSWIRE) — Quorum Information Technologies Inc. (QIS:TSXV) (“Quorum” or the “Company”), a North American SaaS Software and Services company providing essential enterprise solutions that automotive dealerships and Original Equipment Manufacturers (“OEMs”) rely on for their operations, announced today it has signed a definitive agreement to sell its Advantage Complete Dealership Management System (“DMS”) software.
“We are pleased to be selling our Advantage Complete DMS software to the Vitali Auto Group,” said Maury Marks, President and CEO. “When Quorum purchased Advantage in 2019, we set a target to migrate 80% of Advantage’s franchised dealerships to Quorum’s DMS. By the end of 2020 we were successful in converting 85% of those franchised dealerships which resulted in additional annual recurring SaaS revenue of $0.7 million. In order for Quorum to stay completely focused on the franchised dealership market, the decision was made to sell the independent automotive dealer focussed Advantage Complete DMS product to the Vitali Auto Group.”
Highlights of the sale and wind down:
- Sale of software and grant back license agreement for a nominal fee
- Reduction in SaaS revenue from independent dealers of $0.1 million annually
- Reduction in expenses of $0.2 million annually
The Purchaser is a company owned by the Vitali Auto Group out of London, Ontario who has used and provided business input into the development of the Advantage software for many years. They will be working with some of the original programmers of the software to focus on independent automobile dealers in Canada. They believe the software offers a premium product and great value for the customer.
About the Purchaser
The Vitali Auto Group is a family operation that has been in the automobile business for four generations and currently operates a number of dealerships. They look forward to expanding its operations into offering independent automobile dealerships affordable, comprehensive and feature rich software normally available only to franchise dealerships.
About Quorum Information Technologies Inc.
Quorum is a North American SaaS Software and Services company providing essential enterprise solutions that automotive dealerships and Original Equipment Manufacturers (“OEMs”) rely on for their operations, including:
- DealerMine CRM, a sales and service Customer Relationship Management (“CRM”) system and set of Business Development Centre services that drives revenue into the critical sales and service departments in a dealership.
- Autovance, a modern retailing platform that helps dealerships attract more business through Digital Retailing, improve in-store profits and closing rates through its desking tool and maximize their efficiency and CSI through Autovance’s F&I menu solution.
- Accessible Accessories, a digital retailing platform that allows franchised dealerships to efficiently increase their vehicle accessories revenue.
Quorum Information Technologies Inc. is traded on the TSX Venture Exchange (“TSX-V”) under the symbol QIS. For additional investor information, please visit www.QuorumInformationSystems.com.
President and Chief Executive Officer
Chief Financial Officer
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Quorum Information Technologies Inc. is traded on the Toronto Venture Exchange (TSX-V) under the symbol QIS. For additional information please go to www.QuorumInformationSystems.com.
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