SuperCom to acquire SmartID division from OTI
SuperCom, a provider of eID security systems and electronic monitoring solutions has signed an agreement with On Track Innovations to acquire its SmartID division, including its employees, all contracts, software and other related technology, patents and IP assets.
SuperCom will pay $10 million, with an earn-out mechanism of up to a further $12.5 million, subject to performance criteria and milestones.
According to SuperCom, in 2011 and 2012, the OTI’s SmartID division’s average annual revenue was approximately $20 million.
“We are very pleased to announce this highly synergistic and accretive merger into SuperCom,” Arie Trabelsi, CEO of SuperCom said. “This acquisition reflects the continued execution of our long-term strategic plan to become a leading solution provider to the global electronic ID market. This acquisition boosts our contract base and pipeline, and increases our potential revenue growth.”
“The acquired SmartID division will vastly expand the breadth of our eID capabilities globally, while providing us with outstanding market and technological experts, together with the best ID software platforms and technologies. This acquisition enables us to leverage on OTI’s rich and wide range of field-proven technologies and solutions, to the fast growing eID market.”