Wednesday, February 08, 2012

Guidance Software to Acquire CaseCentral

PASADENA, California. – Feb 7, 2012 – Guidance Software, Inc. (NASDAQ: GUID) today announced it has signed a definitive agreement to acquire privately-held CaseCentral, Inc., a leader in the electronic discovery (e-discovery) market for Cloud-based review and production software.

“The acquisition of CaseCentral will bring together the industry leaders for both on-premise and Cloud-based e-discovery software. We will deliver the best of both worlds to customers by offering the most complete, integrated and innovative software in the e-discovery market,” said Victor Limongelli, president and chief executive officer of Guidance Software. “The combined organization will be the largest pure-play e-discovery software company, with nearly 500 total employees, and thousands of users.”

This acquisition will extend Guidance Software’s market leadership by delivering a complete e-discovery platform addressing the e-discovery needs of corporations and government agencies. The combined product portfolio will deliver to customers increased efficiency and automation, as well as lower risk for e-discovery activities. The integrated solution will span from legal hold to identification, collection, preservation, processing, first pass review, and, now with CaseCentral’s market leading software-as-a-service (SaaS) offering, best-in-class early case assessment (ECA), review and production capabilities.

The combined offering deploys software intelligently, with EnCase eDiscovery delivering the legal hold, identification, collection, preservation, and processing functions on-premise, at the customer site – close to the sources of data and the data custodians – and CaseCentral delivering the ECA, review and production functions as SaaS in the Cloud, so that geographically dispersed inside and outside counsel can efficiently review collected documents without needing any special equipment or software other than a web browser and internet connectivity.

The integration of EnCase eDiscovery with CaseCentral will quickly provide additional value to customers, scaling from support for single-case requirements to multi-case, multi-party requirements. Further, the unique EnCase eDiscovery Collected Data Reuse capabilities, coupled with the unique CaseCentral centralized, multi-matter legal repository provide immediate benefit to customers by automating searches, reducing over-collection of ESI, lowering spoliation risk, re-using attorney work product where appropriate, and avoiding inadvertent production of confidential or privileged client data. See for more information on Collected Data Reuse and for more information on multi-matter capabilities. These capabilities, among others, help customers to standardize e-discovery processes and drive down the risk, time and cost of e-discovery.

“CaseCentral has pioneered many significant e-discovery industry developments, including the delivery of e-discovery software via the Cloud and a centralized legal repository with multi-matter, multi-party and re-use capability,” said Chris Kruse, founder, president and chief executive officer of CaseCentral. “We are excited about joining forces with Guidance Software, as we will be well positioned to capitalize on the market’s tremendous potential and define the next generation of e-discovery solutions, benefitting both Guidance and CaseCentral customers, partners and employees.”

Under the terms of the agreement, Guidance Software will acquire CaseCentral for upfront consideration of approximately $17.1 million, consisting of $8.3 million in cash, $8.3 million in Guidance Software common stock, and the assumption of $0.5 million of debt, net of cash. Depending on CaseCentral’s SaaS revenue growth, Guidance Software may pay up to an additional $33 million in cash over the next three years. The transaction is subject to customary closing conditions and is expected to close during the first quarter of 2012. Guidance Software expects the transaction to add approximately $10 million in SaaS revenue in 2012, and to be slightly dilutive to slightly accretive to 2012 non-GAAP EPS and accretive to 2013 non-GAAP EPS.

Atlas Technology Group acted as financial advisor to Guidance Software in this transaction.

Thursday, February 02, 2012

HSSK Forensics Announces the Closing of the Sale to Ricoh Americas, Inc.

Houston, TX -- February 02, 2012

Hill Schwartz Spilker Keller LLC, a leading professional services firm devoted to Business Valuation and Litigation Consulting, announced on Monday that a definitive agreement has been signed to sell HSSK Forensics, Inc., a state-of-the-art computer forensics and electronic discovery provider to Ricoh Americas, Inc. Ricoh will gain HSSK Forensics’ RemloxTM Remote Acquisition technology and the HSSK Forensics lab in Houston, TX, the first private computer forensics lab accredited by the American Society of Crime Laboratory Directors/Laboratory Accreditation Board (ASCLD/LAB).

“As a part of HSSK LLC, HSSK Forensics, Inc. developed and commercialized the Remlox remote acquisition technology as well as other technologies to improve the speed and efficiency of acquiring and processing electronically stored information," said Mike Hill, Sr., President of HSSK LLC. Computer forensics grew from HSSK LLC's regular financial forensics practice and eventually became an affiliated entity known as HSSK Forensics, Inc. HSSK, LLC continues to practice financial forensics today, and HSSK LLC has always valued the added advantage of technology in order to deliver better valuation, litigation, and financial forensics services.

Ricoh will integrate Remlox and the HSSK Forensics lab as part of Ricoh’s eDiscovery suite of services, expanding its technology and service offering in computer forensics and eDiscovery for corporate counsel and supporting law firms, providing a complete solution for the identification, collection, verification, logging and analysis of electronic data. The agreement also brings the experience of HSSK Forensic’s management team and employees to Ricoh, including years of testifying experience. David Greetham, HSSK Forensics’ Managing Director of the Computer Forensics & E-Discovery Group, will become National Director of Forensic Services.

As with HSSK Forensics, HSSK employs some of the most experienced and knowledgeable professionals in business valuation. Its management team includes two of only fourteen business valuation Fellows of the American Society of Appraisers. Its bankruptcy and financial forensics practices are led by two individuals with over fifty years of combined courtroom experience. HSSK assists clients in quantifying and articulating value for financial reporting, taxation, transaction, and corporate planning purposes. It also works with clients involved in filed and pending litigation and disputes by providing valuation services, financial forensics, financial damage determination, and bankruptcy related services, including serving as financial advisors to parties, as trustees and as examiners.

HSSK LLC continues to offer industry-leading services in business valuation, litigation consulting, and financial forensics to the corporate, legal, and professional communities. The sale of HSSK Forensics, Inc. as a valuable technological asset is an example of the ingenuity and innovation used throughout all of HSSK's services and offerings in order to deliver best-in-class solutions to its distinguished portfolio of Fortune 500 clients.