Syscan International acquires three new companies
Sunshine Technologies, along with the other businesses, being id-DNA and Fastcards, will be acquired by Syscan International out of Canada. Syscan International, a publicly listed company in Canada, has signed a Letter of Agreement to acquire the 3 companies.
The acquisition is subject to due diligence by Syscan, negotiation of all definitive documentation, approval of the Syscan board of directors and approval of the Canadian TSX venture exchange where Syscan is listed.
The transaction shall include, Fastcards, a patented secure online issuer of Photo RFID cards holding Issuing Body status for the Australian Maritime Security Identification Card, contactless smart card supply and managed identification services.
Sunshine Technologies is a award winning and the leading RFID solutions provider in Australia with a focus on Mining, Government, Defense and general inventory and asset management applications and id-DNA, a visionary start-up Bio-security company with a portfolio of intellectual property and knowledge focused on RFID combined with DNA applications in the food industry, identification and forensic chain of custody applications.
Syscan expects the group of Companies to be cash flow and earnings positive to its overall operations.
Sunshine Technologies has known and worked with Syscan for many years and see this coming together as a natural step for like companies offering mutual benefits to both companies, the acquisition will enable consolidation of the entities under the one roof with a common focus to deliver its RFID and Identification Solutions far more effectively on a global basis.
Many of Sunshine Technologies’s clients are globally based and as such it sees a need to support them and the deployment of its RFID solutions globally and Syscan will enable it to provide a truly global solution.
The combined companies' resources will now be dedicated to supporting the customers and Sunshine Technologies are excited about the new venture. Sunshine Technologies’s Co-shareholders in Sunshine, Cutting Edge, has been good over the past few years and also see the benefits of this new venture and will still have a vested interested in Sunshine's future.
According to Syscan, this acquisition is a significant first step in the execution of its M&A strategy as part of the overall Syscan growth plan. Based on its core RFID technology competence Syscan has embarked on a plan to expand its domain expertise and regional distribution though both organic development and acquisitions.
This transaction, especially with Scott, coming on board with it will strengthen its management team and will provide it with an ideal position in the Australian markets.
Fastcards will enable Syscan to take advantage of its growth opportunities and to export its security and access control expertise and IP into other markets. Sunshine Technologies offer Syscan the expertise and integration capabilities needed to build the market and id-DNA's pioneering technology is certainly potentially exciting in the food security and other markets.
5-Apr-2007