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Gregory Krzemien, Chief Financial Officer
Horsham, Pennsylvania – October 26, 2011 – Mace Security International, Inc. (“Mace” or the “Company”) (OTCQB: MACE) today announced the sale of certain assets and liabilities related to its IVS division to Costar Video Systems, LLC (“Costar”), a wholly owned subsidiary of Sielox, Inc. (OTC Market Group:SLXN). The sale, which was completed on October 21, 2011, included inventory, trade accounts receivable and payable and IVS’ related intangible assets, including its customer list and tradenames.
IVS, which operated as a division within the Company’s electronic security equipment operation, Mace Security Products, Inc., is one of the original distributors of high-end digital and machine vision cameras and professional imaging components in the United States and has been in operation since 1989.
The sale price for IVS was approximately $517,000 cash paid at closing plus an additional $100,000 consideration payable if certain revenue levels are achieved by Costar in the first 90 days following the sale.
Michael Smith, CEO of Mace, stated, “We are pleased to announce the sale of this non-core related business. This continues our strategy of monetizing non-core assets and allowing management to focus on its key security related businesses.”
Mace Security International, Inc. is a manufacturer of personal defense and electronic surveillance products marketed under the famous brand name Mace®, and the owner and operator of a wholesale central monitoring station. Mace’s web site is www.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 economic conditions, dependence on management, our ability to compete with competitors, dilution to shareholders, and limited capital resources. A discussion of factors that could materially adversely affect the Company’s financial performance and cause actual results for future periods to differ materially from the statements expressed within this press release, and management’s opinions, 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 also be read in conjunction with the financial statements and notes contained in Mace’s annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K.