NXT-ID finalizes LogicMark acquisition
MELBOURNE, Fla.—NXT-ID, a technology company focused digital payments, biometrics, miniaturization based here, completed its acquisition of PERS manufacturer LogicMark.
"This is a significant milestone for the company. LogicMark is a market leader in unmonitored PERS devices and we believe we can potentially add significant value by integrating our voice biometric technology as well as detection sensors and miniaturization to future versions of LogicMark products,” Gino Pereira, chief executive officer of the NXT-ID, said in a prepared statement. “In addition, the company believes it can potentially enhance the retail presence of LogicMark products."
NXT-ID acquired LogicMark for $20 million and $900,000 of stock and warrants. “In addition, LogicMark's selling equity holders may be paid an earn-out of up to $6,500,000 based on achieving certain performance goals within the next 18 months,” NXT-ID said in a statement.
Kevin O'Connor, Logicmark's president, said in the release, "We are pleased that the acquisition is complete and look forward to being part of the NXT-ID team. With our combined resources we are confident that we will bring new solutions to the market, and expand our current offerings with new channel partners."
LogicMark has 22 full-time professionals, three part-time professionals, and five contractors.
The acquisition was financed with a $15 million senior secured debt facility provided by ExWorks Capital Fund and $4.5 million of preferred equity provided by several institutional investors, according to NXT-ID.
Aegis Capital Corp. served as exclusive placement agent for the debt and equity financing, as well as financial advisor to NXT-ID. Livingstone, an international mid-market M&A and debt advisory firm, served as advisor to Logicmark.