Inventergy Global, an intellectual property (IP) that
identifies, acquires and licenses patented technologies of market-significant
technology leaders, has reorganized various components of the product-based
businesses of its eOn Communications Systems, Inc. (“ECS”) subsidiary. The move
is aligned with Inventergy’s broader growth strategy and is expected to
increase earnings, reduce costs, improve cash flow and build shareholder value.
As part of the operational reorganization, ECS’s products
and services are divided into three lines:
• A royalty
bearing agreement with a third party for use of a private branch exchange
business purchased from Inventergy’s predecessor, eOn Communications
Corporation (“ECC”)
• A
valued-added reseller business of biometric security and access control
products
• A new
business that provides outsourced sales, marketing and technical support
services to business partners in the security products and services industry.
In addition, ECS has terminated a legacy business acquired
as part of the company’s June 2014 merger with ECC. The resources from this
business, which provided distribution services of facility security and access
control products, has been redeployed to ECS’s biometric security and access
control product line. ECS is managed by its president, Stephen Swartz.
The termination of the business and sale of remaining
inventory and accounts receivables netted approximately $200,000 in cash for
Inventergy. As a result of all of these changes, Inventergy expects the ECS
subsidiary to be profitable and cash positive in the second quarter of 2015.
“We believe the restructuring of ECS supports our corporate
growth strategy and enhances Inventergy’s business by adding additional revenue
streams to our core licensing programs,” Joe Beyers, chairman and CEO of
Inventergy, said in the news release. “Stephen Swartz has been instrumental in
turning ECS into a business with increased operational profit potential. With
Stephen at the helm of ECS, it allows the Inventergy management team to focus
our energies on driving our core patent licensing, monetization and patent
asset acquisition initiatives.”
For more information, visit www.inventergy.com
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