SAINT PAUL, Minnesota, April 29, 2021 (GLOBE NEWSWIRE) – Image Sensing Systems, Inc. (“Image Sensing Systems”) (NASDAQ: ISNS), a global company dedicated to improving safety and efficiency cities and highways, today announced that its board of directors has approved the following actions:
- The launch of a quarterly cash dividend to common shareholders of $ 0.12 per common share on May 20, 2021 to shareholders of record as of the close of business on May 10, 2021.
- Authorized a share buyback program under which it can buy back up to 200,000 common shares.
- The implementation of a reorganization of the holding company.
- The new holding company, Autoscope Technologies Corporation, will become the new parent company of Image Sensing Systems.
- Current Executive Chairman of Image Sensing Systems, Andrew Berger, will take over as CEO of Autoscope Technologies Corporation.
The holding company will be called Autoscope Technologies Corporation, which aims to showcase the company’s best performing and most sustainable product while creating a new roadmap for future value creation by signaling a new strategy and a new company structure. Autoscope Technologies Corporation will focus on high yield organic growth opportunities while seeking selective acquisitions that can leverage its existing assets and infrastructure.
“Over the past five years, Image Sensing Systems has prudently rebuilt its balance sheet while significantly improving profitability and cash flow. By reorganizing and building on the success of the Autoscope brand, we will work to grow the business with a focus on organic opportunities while reviewing acquisitions and partnerships that can leverage reputation, assets and talents within the company. We intend to transform the company into a group of profitable business segments marketed to a diverse customer base that generates sustained higher profits, ”said Andrew Berger, President and CEO of Autoscope Technologies Corporation.
“In conjunction with the structure of the holding company, we believe that launching a dividend and share buyback program will provide predictable continued returns and underscore our commitment to delivering long-term value to our shareholders, while allowing the company to simultaneously invest in growth opportunities. Berger continued.
“The Board would like to thank Chad Stelzig for his efforts in strengthening image sensing systems under his leadership and looks forward to his continued success as CEO of Image Sensing System,” added Berger.
The reorganization is expected to be completed by the end of the second quarter of 2021. Once implemented, the reorganization will result in a new holding company, Autoscope Technologies Corporation, which will become the new parent company of Image Sensing Systems and replace Image Sensing Systems as a public company trading on the Nasdaq.
As part of the planned reorganization of the holding company, the existing shares of Image Sensing Systems would automatically convert on a one-for-one basis into common shares of Autoscope Technologies Corporation. Shareholders would not need to return share certificates or take any other action with respect to their common shares of Image Sensing Systems. It is expected that the reorganization of the holding company would be a non-taxable transaction for US federal income tax purposes for Image Sensing Systems and its shareholders. The public company reorganization is not expected to result in a change in the directors, senior officers, management or business of Image Sensing Systems.
About image detection systems
Image Sensing Systems, Inc. is a global company dedicated to improving the safety and efficiency of cities and highways by developing and delivering above ground sensing technologies, applications and solutions. . We provide intelligent transportation systems (ITS) professionals with more accurate and precise information – including real-time response capabilities and in-depth analytics – to make safer, more proactive decisions. Our head office is located in St. Paul, Minnesota. Visit us on the web at imagesensing.com.
Safe Harbor Declaration: Statements made in this press release regarding the intentions, expectations or predictions of the Company or management regarding future results or events are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements reflect expectations or the current beliefs of management, and are subject to risks and uncertainties which could cause actual results or events to differ from stated expectations, such variations being able to be material and unfavorable. Factors that could produce such a variation include, but are not limited to, the following: the inherent unreliability of earnings, income and cash flow forecasts due to many factors, many of which are beyond the control of the society; changes in demand for the company’s products and services; relationships with the company’s main customers and suppliers; the mix and margins on the products we sell; unforeseen delays, costs and expenses inherent in the development and commercialization of new products and services; adverse weather conditions in our markets; the impact of laws, regulations and government orders, particularly in the aftermath of the COVID-19 pandemic caused by the coronavirus; international presence; tariffs and other trade barriers; our success in integrating all acquisitions; potential disruptions to our supply chains (including disruptions caused by geopolitical events, military actions, work stoppages, natural disasters or international health emergencies, such as the COVID-19 pandemic); and competitive factors. Our forward-looking statements speak only as they are made, and we assume no obligation to publicly update such statements. Additional information regarding these and other factors that could cause actual results and events to differ materially from the company’s current expectations is contained in the company’s reports and other documents filed with the Securities and Exchange Commission. , including its annual report on Form 10-K for the fiscal year ended December 31, 2020 filed on March 11, 2021.
|Contact: Frank Hallowell, Chief Financial Officer|
|Image Sensing Systems, Inc. Phone: 651.603.7744|