Zwipe reviews biometric payment cards progress and seeks up to $1.6M with subsequent offering
Zwipe has launched a subsequent offering of up to 1 million offer shares at the same subscription price as a recent private placement, NOK 15 (US$1.62), to raise up to NOK 15 million ($1.62 million).
The company announced in September it had raised NOK 96 million (roughly $10 million) in the original private placement. The follow-on offering consists of approximately 3.13 percent of the currently outstanding shares in Zwipe.
The subsequent offering runs from October 20 to October 27, 2020, and eligible shareholders must provide the manager with a complete and signed application form by that end date to participate.
The completion of the offering is subject to Board resolution and registration of the capital increase with the Norwegian Register of Business Enterprises.
In an operation update, Zwipe reviewed business developments in its fiscal third quarter of 2020 and its progress towards the mass-volume rollout of biometric payment cards. Highlights in the quarter included several partnerships, and since the end of its Q3 Zwipe has announced additional partnerships with TietoEVRY, areeba and Inkript.
Zwipe CEO André Løvestam lauded the company’s progress in expanding its network of card manufacturing customers and growing its capacity to support large-scale deployments. He also described the strategic technical partnerships Zwipe has formed as “instrumental in preparing the biometric payment card industry for efficient scaling.”
“With these exciting developments pushing Zwipe forward we are further strengthening our team to be ready to serve a mass-volume market,” writes Løvestam in the update. “Consequently, we have completed several key recruitments within quality management, project management, certification, sales, and product management. In addition, as we are seeing that our pull strategy and professional service offerings receive strong interest from our customers and partners, we are bringing in additional resources that will anchor this emerging business vertical for Zwipe.
Løvestam also refers to the subsequent offering as a “repair issue,” which gives existing shareholders excluded from the private placement a chance to maintain their stake at the same terms.
Zwipe has also ordered 300,000 fingerprint sensors from Idex Biometrics to supply biometric payment card manufacturing.
This post was updated at 4:22pm Eastern on October 20, 2020 to correct the typical purpose of repair issues following private placements.