Accretive Acquisition of Market Leading Board Management & Communications Services Platform to Close Before End of Q3 2018; Provides Meaningful Revenue, EBIT Contributions, Growth in Monthly Recurring Revenue
Raleigh, North Carolina--(Newsfile Corp. - August 1, 2018) - LandStar, Inc. (OTC Pink: LDSR) ("LandStar" or the "Company"), the parent company of Data443™ Risk Mitigation, Inc. ("Data443"), a leading data security and privacy company, announced today that the Company has completed the letter of intent to acquire all technology, sales assets, and customers of Modevity's enterprise cloud-based data storage, protection, and workflow automation platform, ARALOC™.
The combined operations of the ARALOC™ platform provided (unaudited) EBIT contribution of approximately $500K USD in 2017. High EBIT percentage contributions are enabled by smart technology architecture and cloud computing that scale profitably — enabling a very low COGS.
The ARALOC platform is a security digital content rights and distribution platform — hosted in the cloud — enabled by custom Apple IOS, Android, Microsoft Windows and Mac applications — branded as ARALOC or custom branded for the customer. The core architecture enables several key product verticals:
ARALOC successfully competes in the growing Board Portal Software marketplace at Diligent, NASDAQ Boardvantage, BoardPaq and others. ARALOC has been included in numerous technology analyst recommendations since inception and is recognized as one of the industry's first products to deliver on a SaaS-based approach with full encryption and digital rights management for all digital content. Numerous global, multi-billion-dollar companies have regularly depended on ARALOC and its capabilities for over a decade.
The ARALOC platform also encompasses other products including the SPARK Employee Communications Platform, Sales Content Management, and publishing/distribution of content for publishing clients. ARALOC provides a high level of content security, audit trails, and analytics to support today's ever-increasing information security regulations such as HIPAA, GDPR, Sarbanes-Oxley, ITAR, Gramm-Leach-Bliley Act, and others.
"We are thrilled to announce such a game-changing transaction for Data443, one that is immediately accretive for the company," said Jason Remillard, CEO of LandStar and founder of Data443. "The acquisition of ARALOC represents a milestone strategic investment that anchors our ongoing investments in privacy, and cloud and data security. In addition to the high quality and caliber of ARALOC's technology and customer roster — the core cryptography and Bring Your Own Certificate (BYOC) capabilities while hosted on the leading Microsoft Azure cloud platform enables us to leapfrog competitors who are simply starting in this arena. ARALOC has over a decade of technology runtime to leverage - we simply couldn't pass up this opportunity."
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"I've known Jason and his team for quite a while, and we're thrilled to be a part of Data443's mission of developing a focused technology stack that's dedicated towards addressing the current and future challenges of information security and privacy," said Modevity, LLC President and Co-founder Jim Coyne. "Together, ARALOC's platform with additional integrations such as ClassiDocs and other planned products and acquisitions will address the rapidly changing and growing demands of customers for integrated information security solutions that can be deeply integrated to the rest of the enterprise — for both cloud and hybrid-cloud applications."
Management will be producing a joint FAQ document in the coming days for investors — please sign up here to be notified when it is posted: CLICK HERE
"Because of our familiarity with the ARALOC team, we have been working closely with them to complete the transition as efficiently as possible, while continuing to grow the customer base and product set. We anticipate minimal service disruption, as the transaction includes full and ongoing supported transition of customers, code, sales, marketing, and other operational facets of the business," concluded Mr. Remillard.
About LandStar, Inc.
LandStar, Inc. (OTC Pink: LDSR), through its wholly owned subsidiary Data443™ Risk Mitigation, Inc., enables secure data — across local devices, network, cloud, and databases — at rest and in flight. ClassiDocs™, the company's award-winning data classification and governance technology, provides GDPR compliance and DSAR management coupled with DLP, CASB, SIEM, and cloud solutions to provide user-enabled, governance-enabled, up-to-date security for every data point, every time. The WordPress-based GDPR Framework enables organizations of all sizes to comply with the GDPR and other privacy frameworks. ClassiDocs™ for Blockchain provides an active implementation for blockchain transactions from inadvertent disclosure and data leaks. For more information, please visit www.data443.com.
The statements contained in this release that are not historical facts are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "could," "should," "expect," "plan," "project," "intend," "anticipate," "believe," "estimate," "predict," "potential," "pursuant," "target," "continue," and similar expressions are intended to identify such forward-looking statements. The statements in this press release that are not historical statements, including statements regarding LandStar's plans, objectives, future opportunities for LandStar's services, future financial performance and operating results and any other statements regarding LandStar's future expectations, beliefs, plans, objectives, financial conditions, assumptions or future events or performance that are not historical facts, are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond LandStar's control, which could cause actual results to differ materially from the results expressed or implied by the statements. These risks and uncertainties include, but are not limited to the operations of LandStar; results of litigation, settlements and investigations; actions by third parties, including governmental agencies; volatility in customer spending; global economic conditions; ability to hire and retain personnel; loss of, or reduction in business with, key customers; difficulty with growth and in integrating acquisitions; product liability; cybersecurity risk; and, anti-takeover measures in our charter documents.
Additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements is contained, from time-to-time, in LandStar's filings with the Securities and Exchange Commission and postings on the OTC Markets news and information website. LandStar undertakes no obligation to publicly update or revise any forward-looking statement.
Data443™, ClassiDocs™ ARALOC™ are registered trademarks of Data443 Risk Mitigation, Inc.
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