$30 million acquisition secures a bright future for Daticon
Eden Prairie, Minn., Feb. 23, 2006
Xiotech® Corporation said today it has completed its acquisition of the assets of Daticon®, a Norwich, Conn.-based litigation support and document conversion services company for $30 million. Xiotech has pledged to keep Daticon's operations based in Norwich, protecting the company's 170 local jobs.
The combined company now has approximately 500 employees based primarily in Eden Prairie, Minn.; Norwich, Conn.; Vancouver, Wash. and Hyderabad, India.
Operating independently as Daticon, a Xiotech Company, the organization will continue to manage paper and electronic documents for law firms, corporations and government agencies involved in extensive litigation, merger activities or regulatory-compliance matters. Daticon will continue its support of large matters for customers such as the Securities and Exchange Commission, the Federal Trade Commission and the Justice and Defense departments.
Daticon is now well positioned for growth as part of a Xiotech corporate structure. Moreover, the company has identified an opportunity to expand its electronic evidence management services, leveraging expertise from Xiotech.
"This transaction highlights the increasing importance of corporate computing and storage to the legal discovery process," said Michael A. Clark, managing director of EDDix LLC. "When I introduced the idea of acquiring Daticon, Xiotech management immediately understood how they could leverage their enterprise domain knowledge and operational expertise to take Daticon to the next level of market leadership."
"Daticon's reputation for quality service is strong, and we look forward to growing that reputation with the help of additional resources from Xiotech," said Xiotech President and CEO Casey Powell. "There are exciting new market opportunities that a combined Daticon and Xiotech are uniquely positioned to pursue."
About Daticon Daticon provides document review and management services for law firms, corporations and government agencies involved in complex litigations, mergers or compliance matters. Daticon's full-service offerings include Dativision, which encompasses a comprehensive set of Electronic Data Discovery (EDD) services including strategy, forensics, data collection, search and cull, conversion, review, and production; Daticon's Hosted Document Review offerings and all of the services needed to manage paper documents. Daticon's capabilities also include a proprietary Intelligent Coding System (ICS) which can identify and differentiate between document types, and scanning solutions which have the ability to scan more than 500,000 pages daily. The company's services and solutions meet the specialized needs of professionals throughout the industry including six of the Fortune 10 companies, more than half of America's leading litigation firms and many state and federal agencies.
About Xiotech Xiotech® is a leading provider of data storage and data discovery solutions. Since 1996 more than 1,500 midsized enterprises have taken advantage of Xiotech's easy-to-use and highly resilient storage management solutions. The company's products include Magnitude 3D® 3000s, Magnitude 3D 3000e and TimeScaleT replication appliances. Current customers include Bechtel, Lucent, Navy SCSC, Joyce Meyer Ministries, Ysleta ISD, Salesnet and St. Vincent Hospital. Xiotech also partners with industry leaders such as Brocade, Cisco, McDATA, Microsoft and Novell. Xiotech is based in Eden Prairie, Minn. For more information, visit www.xiotech.com, email info@xiotech.com or call toll free 1.866.472.6764.
Xiotech, Magnitude, Magnitude 3D, REDI Software, TimeScale, DataScale and GEORAID are trademarks or registered trademarks of Xiotech Corporation. All other trademarks or service marks are the property of their respective owners.
