PORTWELL HAS BECOME A 100%-OWNED SUBSIDIARY OF POSIFLEX, READY TO BUILD THE WORLD’S LEADING BRAND FOR O2O SOLUTIONS WITH POSIFLEX GROUP

An US$360 million B2B IoT Platform powered by O2O Integration

Posiflex Technology, Inc. (“Posiflex”, or the “Company”) completed the acquisition of Portwell Inc. (“Portwell”) for a total consideration of US180 million. Portwell has become a wholly-owned subsidiary of Posiflex. With the support from Embedded City Taiwan, Posiflex shall introduce corporate governance and infrastructure with reference to global best practice, preparing for a sustainable corporate platform. Posiflex believes such strategic acquisition will effectively expand the total addressable markets, further optimize business models, and ultimately enable sustainable corporate development.

Portwell’s expertise in RISC/Android solutions and deep domain knowhow in multiple vertical markets will be the best support for KIOSK’s global expansion

Founded in 1993 and listed on Taiwan OTC market since 2001, Portwell is the leader in IPC technology innovation, dedicated to the development of technologies in electronics, mechanical, firmware and system integration for embedded computing. In addition to the traditional WINTEL platform, Portwell is also a distant leader offering solutions to the latest core IoT platform & applications, such as RISC, FPGA, as well as Android/Linux platform integration. Portwell provides IPC computing boards, system solutions and technology services for applications in multiple vertical markets including gaming and lottery, digital healthcare, green technology, network security, and industrial automation. Portwell has been well positioned to provide project-based customized turnkey solutions with high entry barriers (long product life cycle, long & stringent certification process) which ensures high customer loyalty with tier-1 global leaders in medical equipment, gaming & lottery machines, network security appliance, and industrial automation. It is believed that Portwell’s technologies and innovation will fuel KIOSK’s international expansion outside of North American, whereas KIOSK’s blue chip customers and Posiflex’s global channel partner will together further expand Portwell’s end markets and customer access; the combined 3 businesses will soon scale up to create significant synergies. Post transaction, Portwell’s current management team will be retained and to continue with daily operations as is.

To build the World’s Leading Brand for O2O Solutions

Posiflex and Portwell have complementary product lines, supply chain advantages, R&D resources and regional focus; the combination is expected to fuel mid to long term revenue growth and harvest efficiently on cost synergies. Together with KIOSK and Portwell, Posiflex will continue own brand business development for its global channel partners with support from enlarged R&D capacity/resources and economies of scale. The Company will differentiate itself from its peers by integrating into the one and only platform, optimizing manufacturing resources and consolidating supply chain (procurement, inventory, warehouse, logistics) operations. Posiflex will be well-positioned to capitalize on Internet of Things fully by its unique and winning US$360 million platform powered by the most comprehensive vertical market coverage on a global scale.

About Posiflex

Founded in 1984, Posiflex Technology, Inc. has designed and manufactured its own-branded and world-class POS solutions as well as self-service solutions through acquisition of KIOSK in 2016. Recognized as a pioneer and leader in the industry, Posiflex has been awarded more than 30 patents for innovative design. The company’s products are manufactured in ISO 9001/9002/14001 facilities in Taiwan and sold worldwide through retail, hospitality, banking, healthcare and many other verticals. Posiflex’s offices are in the USA, Germany, China, India, Singapore, Malaysia, Japan, Dubai and Argentina along with the global distribution networks to provide direct and timely support to its customers around the world. For more information: http://www.posiflex.com

About Portwell

Portwell, Inc. was founded in Taiwan in 1993 and entered the Industrial PC market in 1995 by developing single-board computers. Portwell is an Associate member of the Intel IoT Solutions Alliance, an executive member of the PCI Industrial Computer Manufacturers Group (PICMG), as well as a member of the Advanced Telecommunications Computing Architecture (ATCA) Group. Portwell dedicated itself to provide innovative and high quality turnkey solutions and comprehensive technology services to support customers keep leading in their applications. It has worldwide offices in the U.S.A., Taiwan, Japan, China, United Kingdom, Germany, Brazil and India. For more information: https://www.portwell.com.tw/