SenseTime considers biometrics IPO options, FPC withdraws Q2 forecast
The next blockbuster biometrics IPO may yet be one of the Chinese facial recognition unicorns, with SenseTime reportedly considering a launch in Hong Kong later this year. Fingerprint Cards has withdrawn its revenue forecast for Q2, Fourthline has reported major revenue growth, while ImageWare and Plurilock say they are positioned for gains despite underwhelming Q1 results, and Liquid Avatar has joined OTCQB as its operations ramp up.
SenseTime IPO rumors continue
The Chinese biometric unicorn was previously rumored to be considering an initial public offering on the Shanghai STAR market, expecting to raise $1.5 billion at a $10 billion valuation.
The publication says SenseTime executives discussed a potential Hong Kong listing internally and with third parties. A source suggested the company is open to a listing in both Hong Kong and Shanghai, though not necessarily at the same time.
Chinese media reports earlier this year included a $12 billion valuation for SenseTime in its latest financing round.
COVID closes Fingerprint Cards supplier
Fingerprint Cards is withdrawing its revenue forecast for the second quarter of 2021, after authorities temporarily closed down an industrial complex in Bac Giang, Vietnam, housing one of its supplier’s production facilities to stop an outbreak of COVID-19, delaying a part of FPC’s expected quarterly revenue.
No forecast is provided for FPC’s Q2 2021 revenues at this time.
A gradual restart of the production facilities is expected in June, and Fingerprint Cards says it has secured additional capacity from other suppliers for Q3, which the company believes will allow it to make up the lost sales in the coming quarters.
ImageWare reports “steady progress”
ImageWare Systems earned $733,000 in its fiscal first quarter of 2021, an 8 percent decrease from the same period a year ago, but net loss narrowed on lower operating costs.
Net loss for Q1 2021 declined to $4.1 million, or $0.02 per share, from $4.5 million or $0.04 per share in Q1 2020.
“We are continuing to work through several major operational, technical and personnel-related hurdles, but we remain encouraged by the steady progress we are seeing within some of our roadmap initiatives designed to return ImageWare to long-term, sustainable growth,” says Company Chair, President, and CEO Kristin Taylor. “With the additional funds from our recent financing, we’re now able to support increased sales and marketing efforts within our key areas of focus, including the public safety, federal government and enterprise verticals, which should begin translating into new sales later this year.”
The company also made the first sale of its Law Enforcement 2.0 platform during the quarter, which is expected to reach an official launch in the months ahead. Taylor suggested that the changes ImageWare has made recently position it for gradual improvement in operating results.
Taylor noted the company’s efforts to market its face biometric technology to law enforcement and public safety organizations, federal government customers, and enterprises with “industry-specific strategies.”
Fourthline reports 145 percent growth
Fourthline is reporting 145 percent growth on a year-over-year basis in its first quarter of fiscal 2021, amid rising identity fraud and a series of client wins to deploy the company’s digital ID technology.
Highlights for Fourthline during the quarter include a multi-year collaboration signed with Solarisbank to power the expansion of its banking-as-a-service platform to domestic and international markets, an expansion to France by Fourthline client Trade Republic, and the extension of a pair of collaborations between the company partners N26 and Yolt. The French National Police also established a partnership with Fourthline to advance its financial crime-fighting efforts.
Announcements detailing customer wins by Fourthline with several large institutions are also expected soon.
During the quarter, Fourthline launched its SaaS solution for KYC and customer due diligence analysis, along with Web and Mobile SDKs.
The company also recently appointed AML expert Ro Paddock as its head of Anti-Financial Crime.
“As we look ahead to the rest of 2021, Fourthline remains committed to setting new standards in digital identity for regulated institutions,” says Fourthline CEO Krik Gunning. “Far from generating complacency, the achievements in the first quarter of the year spur our teams to double down on our fight against financial crime. With our clients by our side, it’s a fight we are certain to win.”
Plurilock CEO says positioning strong
Plurilock reports a 27 percent decrease in revenues to CA$75,761 (roughly US$62,500) from its behavioral biometrics and related technologies in its first quarter of 2021, with an adjusted EBITDA loss of $1,056,397, compared to $494,514 in the same quarter a year ago.
The company has also filed paperwork to issue equity for a potential $50 million funding round.
Plurilock began trading on the OTCQB Venture Market in January, and signed multiple reseller agreements during the quarter.
“Fiscal Q1 2021 saw us accelerate our growth by achieving multiple operational initiatives that have positioned us well for the remainder of the year,” comments Ian L. Paterson, CEO of Plurilock. “Despite the challenging economic environment, we were able to raise over $5M in growth capital from leading Canadian investors, add notable personnel to our advisory board with global cybersecurity experience and put ourselves in the best position we have been in as a Company since we began trading in September 2020.”
First quarter highlights for Plurilock include its acquisition of Aurora Systems Consulting, giving it a strong presence within the U.S. government vertical to sell its behavioral biometrics to. The company plans to continue expanding its product portfolio and pursuing M&A opportunities, Paterson says.
Liquid Avatar joins OTCQB exchange, expands digital ID capabilities
Liquid Avatar from KABN has been approved to trade in the United States on the OTCQB market, after the U.S. Patent and Trademark Office approved its trademark claim for its core digital ID token technology.
The company has also updated its mobile app with augmented reality, and created a consumer-centric software-as-a-service (SaaS) platform for all stakeholders within the verifiable credentials (VC) ecosystem within a W3C-compliant ‘trust triangle’ transaction environment. The AR integration will support Oasis Digital Studios’ Augmented Reality NFT program, and the company is working with ImagineAR to deliver Liquid Avatars for free when the user activates the Liquid Avatar AR lens in some 30,000 Tim Horton’s, McDonald’s, Dunkin’ or Starbucks locations in North America. The latter roll-out is planned for June.
The Liquid Avatar beta app launched officially to Google Play and the Apple App Store in February. The Liquid Avatar Mobile App has been downloaded more than 13,000 times so far.