WPCS Announces Acquisition of New Line of Business

WPCS Announces Acquisition of New Line of Business 
EXTON, PA -- (Marketwired) -- 12/17/13 --  WPCS International
Incorporated (NASDAQ: WPCS), ("WPCS" or the "Company"), which
specializes in design-build engineering services for communications
infrastructure, today announced that it has entered into various
agreements to acquire BTX Trader LLC (BTX), an early stage technology
company currently engaged in the development of a proprietary trading
platform for the emerging bitcoin industry. The BTX acquisition is
expected to add a new line of business to the Company's existing
operations. 
To acquire BTX, the Company entered into a securities purchase
agreement (the Purchase Agreement) with certain investors in which
WPCS sold 2,348 shares of a newly designated Series E Preferred Stock
(the Preferred Stock) and warrants to purchase up to 1,500,000 shares
of its common stock (the Warrants), for 100% of the membership
interests of BTX. Each share of Preferred Stock has a stated value of
$1,000 and is convertible into shares of the Company's common stock
equal to the stated value (and all accrued but unpaid dividends)
divided by the conversion price of $3.50 per share. The Preferred
Stock accrues dividends at a rate of 12% per annum, payable quarterly
in arrears. The Warrants have an exercise price of $5.00 per share.  
Neither the Preferred Stock nor the Warrants are convertible or
exercisable, respectively, until the Company obtains its
stockholders' approval for (i) the increase in the number of shares
of common stock authorized for issuance to 75 million; and (ii) the
issuance of all of the securities issuable pursuant to the Purchase
Agreement. 
Bitcoin is a digital or virtual currency that uses peer-to-peer
technology to facilitate instant payments. Bitcoin is a type of
alternative currency known as a cryptocurrency, which uses
cryptography for security, making it difficult to counterfeit.
Bitcoin issuance and transactions are carried out collectively by the
network, with no central authority, and allows users to make secure,
verified transfers. BTX has developed and is currently beta testing
its trading system to offer bitcoin traders advanced charting,
trading blotters, and trading integration across five of the major
bitcoin exchanges, which will allow users to see liquidity, route
orders, and identify arbitrage opportunities across all platforms,
and to control trading risks with access to stop loss orders.  
Sebastian Giordano, Interim Chief Executive Officer, commented, "We
are very excited about bitcoin and the prospect offered by BTX to
enter a very fast-growing market. We believe that the software
platform developed by BTX will support the opportunities to advance
bitcoin as an asset class, currency, money transfer mechanism, and
important alternative in the financial markets space. As one of the
first publicly traded companies to make an early entrance into the
bitcoin space, we believe this transaction is consistent with ongoing
efforts to provide the Company with an opportunity to deliver
improved shareholder value in the future."  
About WPCS International Incorporated: 
WPCS is a design-build engineering company that focuses on the
implementation requirements of communications infrastructure. The
Company provides its engineering capabilities including wireless
communication, specialty construction and electrical power to the
public services, healthcare, energy and corporate enterprise markets
worldwide. For more information, please visit www.wpcs.com. 
Statements about the company's future expectations, including future
revenue and earnings and all other statements in this press release,
other than historical facts, are "forward looking" statements and are
made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Such forward-looking statements
involve risks and uncertainties and are subject to change at any
time. The company's actual results could differ materially from
expected results. In reflecting subsequent events or circumstances,
the company undertakes no obligation to update forward-looking
statements. 
CONTACT:  
WPCS International Incorporated
610-903-0400 x104
ir@wpcs.com 
 
 
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