Press Release
Mace Security International, Inc.
240 Gibraltar Road, Suite 220
Horsham, Pennsylvania 19004
(954) 449-1306
Horsham, PA, May 1, 2009 -- Mace Security International, Inc. ("Mace" or the "Company") (Nasdaq Global: MACE) today announced that it has closed on the previously announced acquisition of Central Station Security Systems, Inc. ("CSSS"), a wholesale security monitoring company. This new acquisition will be part of a new division, Mace Security Services. The purchase price was approximately $3.6 million consisting of $1.7 million in cash at closing, potential additional payments up to $1.4 million upon the settlement of certain contingencies as per the Stock Purchase Agreement and the assumption of approximately $500,000 of liabilities.
Mace has hired Peter P. Giacalone to serve as the President of Mace Security Services. Mr. Giacalone has over 30 years of combined experience in both the electronic security and wholesale monitoring industries. Mr. Giacalone is currently the Chairman of the Central Station Alarm Association's Audio Verification Standards Committee and the Security Industry Association's Two Way Audio Verification Standards Committee. He is also a frequent guest speaker at the International Security Conference. Mr. Giacalone has also held senior management positions at Criticom International/King Central-Monital.
Mace has also hired Morgan Hertel as the Director of Operations of the central station. The new name for the wholesale central station is Mace CSSS, Inc. Mr. Hertel has over 30 years of field and management experience in the security monitoring industry. Mr. Hertel is an active member of several security association committees (SIA, NBFAA, and CSAA), and often speaks at conferences on all subjects related to central monitoring stations, especially advanced services such as remote video and remote access. Prior to Mace, Mr. Hertel managed one of the leading central monitoring stations in the industry.
"We are very excited about this acquisition and with the addition of Peter and Morgan to our team," said Dennis Raefield, Chief Executive Officer and President of Mace. "CSSS is an established company with excellent customer service and loyal customers, and we are confident that Peter will be able to spearhead more aggressive growth and develop a unique commercial dealer program that will support CSSS's and Mace's customers alike."
Barry Epstein of Vertex Capital was the broker for Mace on this transaction.
About Mace CSSS
Located in Anaheim, California, Mace CSSS, Inc. is a national UL listed central station that monitors approximately 30,000 end user accounts on behalf of 300 dealer clients. Mace CSSS, Inc. also provides high quality nationwide video monitoring services, including CCTV, IP and other configurations.
About Mace
Mace Security International, Inc. is a manufacturer of personal defense and electronic surveillance products marketed under the famous brand name, Mace®. The Company also operates a Digital Media Marketing and e-commerce business. In addition, Mace owns and operates car washes, and has previously announced that it is exiting this segment of its business. The Company's remaining car washes are located in Texas. Mace's web site is http://mace.com.
Certain statements and information included in this press release constitute "forward-looking statements" within the meaning of the Federal Private Securities Litigation Reform Act of 1995. When used in this press release, the words or phrases "will likely result", "are expected to", "will continue", "is anticipated", "estimate", "projected", "intend to" or similar expressions are intended to identify "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks, known and unknown, and uncertainties, including but not limited to the final results of the independent investigation, the determination of the Panel with respect to the Company's request for an exception to Marketplace Rule 4310(c)(14), the impact on trading in the Company's common stock if the exception is not granted and the Company's common stock is delisted, economic conditions, dependence on management, dilution to shareholders, limited capital resources, the effects of weather on the demand for car care services, the effects of rapid growth on Mace and the ability of management to effectively respond to that growth, our ability to achieve operating synergies, our ability to compete against established competitors, regulatory matters, the effects of competition, and our ability to obtain additional financing. Such factors could materially adversely affect Mace's financial performance and could cause Mace's actual results for future periods to differ materially from any opinions or statements expressed within this press release. Additional discussion of factors that could cause actual results to differ materially from management's projections, forecasts, estimates and expectations are contained under the heading "Risk Factors" in Mace's SEC filings, including its registration statements and its periodic reports on Form 10-K and Form 10-Q. This press release should be read in conjunction with the financial statements and notes contained in Mace's annual reports on Form 10-K and quarterly reports on Form 10-Q.
240 Gibraltar Road, Suite 220
Horsham, Pennsylvania 19004
(954) 449-1306
MACE CLOSES ON ACQUISITION OF CENTRAL STATION SECURITY SYSTEMS, INC., A WHOLESALE SECURITY MONITORING COMPANY
Horsham, PA, May 1, 2009 -- Mace Security International, Inc. ("Mace" or the "Company") (Nasdaq Global: MACE) today announced that it has closed on the previously announced acquisition of Central Station Security Systems, Inc. ("CSSS"), a wholesale security monitoring company. This new acquisition will be part of a new division, Mace Security Services. The purchase price was approximately $3.6 million consisting of $1.7 million in cash at closing, potential additional payments up to $1.4 million upon the settlement of certain contingencies as per the Stock Purchase Agreement and the assumption of approximately $500,000 of liabilities.
Mace has hired Peter P. Giacalone to serve as the President of Mace Security Services. Mr. Giacalone has over 30 years of combined experience in both the electronic security and wholesale monitoring industries. Mr. Giacalone is currently the Chairman of the Central Station Alarm Association's Audio Verification Standards Committee and the Security Industry Association's Two Way Audio Verification Standards Committee. He is also a frequent guest speaker at the International Security Conference. Mr. Giacalone has also held senior management positions at Criticom International/King Central-Monital.
Mace has also hired Morgan Hertel as the Director of Operations of the central station. The new name for the wholesale central station is Mace CSSS, Inc. Mr. Hertel has over 30 years of field and management experience in the security monitoring industry. Mr. Hertel is an active member of several security association committees (SIA, NBFAA, and CSAA), and often speaks at conferences on all subjects related to central monitoring stations, especially advanced services such as remote video and remote access. Prior to Mace, Mr. Hertel managed one of the leading central monitoring stations in the industry.
"We are very excited about this acquisition and with the addition of Peter and Morgan to our team," said Dennis Raefield, Chief Executive Officer and President of Mace. "CSSS is an established company with excellent customer service and loyal customers, and we are confident that Peter will be able to spearhead more aggressive growth and develop a unique commercial dealer program that will support CSSS's and Mace's customers alike."
Barry Epstein of Vertex Capital was the broker for Mace on this transaction.
About Mace CSSS
Located in Anaheim, California, Mace CSSS, Inc. is a national UL listed central station that monitors approximately 30,000 end user accounts on behalf of 300 dealer clients. Mace CSSS, Inc. also provides high quality nationwide video monitoring services, including CCTV, IP and other configurations.
About Mace
Mace Security International, Inc. is a manufacturer of personal defense and electronic surveillance products marketed under the famous brand name, Mace®. The Company also operates a Digital Media Marketing and e-commerce business. In addition, Mace owns and operates car washes, and has previously announced that it is exiting this segment of its business. The Company's remaining car washes are located in Texas. Mace's web site is http://mace.com.
Certain statements and information included in this press release constitute "forward-looking statements" within the meaning of the Federal Private Securities Litigation Reform Act of 1995. When used in this press release, the words or phrases "will likely result", "are expected to", "will continue", "is anticipated", "estimate", "projected", "intend to" or similar expressions are intended to identify "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks, known and unknown, and uncertainties, including but not limited to the final results of the independent investigation, the determination of the Panel with respect to the Company's request for an exception to Marketplace Rule 4310(c)(14), the impact on trading in the Company's common stock if the exception is not granted and the Company's common stock is delisted, economic conditions, dependence on management, dilution to shareholders, limited capital resources, the effects of weather on the demand for car care services, the effects of rapid growth on Mace and the ability of management to effectively respond to that growth, our ability to achieve operating synergies, our ability to compete against established competitors, regulatory matters, the effects of competition, and our ability to obtain additional financing. Such factors could materially adversely affect Mace's financial performance and could cause Mace's actual results for future periods to differ materially from any opinions or statements expressed within this press release. Additional discussion of factors that could cause actual results to differ materially from management's projections, forecasts, estimates and expectations are contained under the heading "Risk Factors" in Mace's SEC filings, including its registration statements and its periodic reports on Form 10-K and Form 10-Q. This press release should be read in conjunction with the financial statements and notes contained in Mace's annual reports on Form 10-K and quarterly reports on Form 10-Q.
Mace Central Station is a subsidiary of Mace Security International, Inc. Mace Security International, Inc. (OTCQB: MACE) is a public company trading under the symbol MACE. The Company owns the highly recognized name Mace, which is known for manufacturing and marketing high quality security products including personal defense sprays, home and business electronic security products and central station monitoring.
