Garden City, N.Y. and Toronto, Canada â January 11, 2005 â Proginet Corporation (OTCBB:PRGF) and Blockade Systems Corp. today announced that the companies have signed an agreement whereby Proginet Corporation acquired Blockade's ManageID, ESaccess, ESconnect and other security software product lines in addition to Blockadeâs customer base. The transaction was for cash. Terms of the agreement are to be disclosed in Proginet's 8K filing with the Securities and Exchange Commission.
The acquisition strengthens Proginet's position in the password management security market, making Proginet the worldâs leading password synchronization and reset vendor. Proginet now provides password solutions to millions of users in over 20 countries worldwide. Proginet has retained many of Blockade's team, has established offices in Toronto, and expects to further expand its password security product offerings to meet the increasing security risks all businesses face today.
Proginet's President and CEO Kevin M. Kelly stated, "The benefits of this transaction to Proginet include adding a substantial customer base with a recurring revenue stream, continuing our track record of acquiring complementary software, and attaining a dominant position in our chosen marketplace. All of this is expected to translate to a favorable impact on Proginet's profitability going forward. The acquisition also places Proginet in front of a more diversified group of enterprises to which we can offer our other superior technologies in managed file transfer (MFT) and platform integration."