JACKSONVILLE,Paladyne Corp. has moved a step closer to a buyout proposed by two Atlanta investors that was announced earlier this year.

In October, Paladyne and its major subsidiary, e-commerce support centers inc. (ecom), said they had agreed to sell a controlling interest in the company to Market Holdings, an entity controlled by William A. Goldstein and Glen H. Hammer.

Now, the board of directors at Paladyne has approved, in principle, the proposed stock purchase agreement and related documents. It has authorized Terrence J. Leifheit, president and chief executive officer of Paladyne, to carry negotiations to a final agreement to be submitted for shareholder approval.

If consummated, Paladyne will sell to Market Holdings 70 percent of the outstanding shares of its common stock following a reverse stock split. The purchase price will be $750,000 payable in a combination of cash, cancellation of loans from Market Holdings to Paladyne and cancellation of third party indebtedness, which is purchased by Paladyne.

In addition, Market Holdings will use its reasonable efforts to put in place an asset based receivable financing facility to fund the working capital requirements of Paladyne, which is based in Jacksonville, NC.

Paladyne shareholders will soon receive a proxy statement describing the transaction and a proxy card asking them to authorize a 1-10 reverse stock split of the outstanding common stock and to approve the sale of post-split shares of stock to Market Holdings.

The proxy statement also will ask Paladyne shareholders to approve an amendment to the company’s certificate of incorporation to change its name to Market Holdings, which is based in Atlanta.

ecom, an outsource provider of telemarketing and customer support, has clients that include Lowe’s Home Improvement Warehouses, SurePay (a First Data Company), Aramark, Crescent-Friedman Jewelers, EarthLink, Cox and Time-Warner.

Paladyne: www.paladyne.com