EXHIBIT 99.1
NEWS RELEASE
[LETTERHEAD] CTI Group [Holdings] Inc.
901 South Troop Road
NEWS RELEASE P.O. Box 80360
Valley Forge, PA 19484 USA
February 3, 1998 -1 610 666-1700
FOR IMMEDIATE RELEASE Fax -1 610 666-7707
For more information contact: E-mail group@ctigroup.com
Mark H. Daugherty, CFO
Telephone: -1 610 666 1700
CTIG Closes Transaction to Acquire Databit Ltd.--A Subsidiary of Siemens plc
Merger Significantly increases CTIG's Revenues, Customer Base, Staff,
International Presence
Valley Forge, Pennsylvania USA. CTI Group (Holdings) Inc. (OTC:CTIG),
following a board meeting, announced today that it has successfully concluded
a transaction with Siemens plc of the U.K. to acquire Databit Ltd., a
wholly-owned subsidiary of Siemens plc operating exclusively in
telemanagement products and services. Databit now becomes a wholly-owned
subsidiary of CTIG and will undergo a name change to CTI Data Solutions Ltd.
to reflect market synergies with CTIG's major U.S. subsidiary CTI Data
Solutions Inc.
CTIG funded the transaction by the issuance to Siemens of a $2 million
promissory note which will become due for repayment by February 2, 2001. The
note carries interest at the rate of 10% per annum payable quarterly in
arrears and is secured by a second lien on CTIG's assets, Mr. Bill Driscoll,
Managing Director of Siemens plc, will join CTIG's board of directors.
Based on historical financial information, the acquisition will
dramatically increase CTIG's business. Assuming the acquisition had been
effective from April 1, 1997, the fiscal year ending March 31, 1998 would
show pro form annualized revenues increasing from approximately $3 million to
approximately $8.3 million. The customer base will increase from
approximately 4,500 North American sites to over 13,500 sites world-wide; and
staff will increase from approximately 35 to 90 employees.
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Shipping Address
901 South Trooper Road
Valley Forge, PA 19482 USA
February 3, 1998
CTIG Closes Transaction to Acquire Databit Ltd.--A Subsidiary of Siemens plc
Page 2
CTIG's Chairman and CEO, Anthony P. Johns, said, "that by acquiring
Databit CTIG adds important critical mass; strengthens its product portfolio;
significantly expands its sales distribution channels; and enhances its
ability to market products internationally; in particular, the ability to
market and support its new telecommunications billing products overseas."
Mr. Johns continued, saying that, "the businesses of CTIG's U.S.
subsidiaries and Databit are totally complementary. Both recently introduced
new, Year-2000 compliant, Windows OS products for sale into mature markets
eager to replace obsolete DOS systems and into new markets emerging world-wide
from telecommunications industry deregulation. The companies have a
non-overlapping market presence with respect to each other such that the
merger will expand product offerings to each of the companies' existing
customer bases."
Said Mr. Johns, "We believe that Databit's high-end ClairePro
(telemanagement) product for Windows NT-Registered Trademark- will gain an
established network of new U.S. distributors within six months.
Subsequently--we will be investing further in our NEPTUNE Billing System for
Windows NT and utilizing fully the benefits of our newly established presence
in the U.K."
CTIG, through its wholly-owned subsidiaries, designs, develops, markets
and supports information processing software and services for managing
telecommunications systems. The Company provides telemanagement solutions to
corporate users of telecommunications services, and billing solutions for
providers of telecommunications services to invoice customers.
This release contains forward-looking statements that involve risks and
uncertainties. These statements may differ materially from actual future
events or results. Readers are referred to documents filed by CTIG with the
U.S. Securities and Exchange Commission, specifically the most recent
Form 10-KSB.
For more information, contact: Mark H. Daugherty
CTI Group (Holdings) Inc.
P.O. Box 80360
Valley Forge, PA 19484
Telephone: -1 610 666-1700
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