In an all-stock transaction valued at approximately $600 million, biometric providers Identix Inc. and Visionics Corp. will merge to better position themselves within the security industry. Both companies say they hope that the synergy between them will enable a quicker response to the increased demand for biometric technology in various markets.
A new name for the company will be selected before the merger transactions are finalized. Both companies say their offices are likely to remain on both the East and West coasts.
Once the merger is complete, Robert McCashin, chairman and CEO of Identix, will serve as chairman of the new company. Joseph Atick, chairman and CEO of Visionics, will serve as CEO. The combined company will have a growing base of more than $20 million in annual recurring revenue.
“I believe we can accelerate revenue growth by taking advantage of immediate up-sell and cross-sell opportunities in every market we currently operate.” says Atick
In other related news, Visionics’ facial-recognition systems will also be marketed through Honeywell and its distribution network. Under the terms of the deal, Honeywell will be able to use Visionics’ biometric network appliance platform in its enterprise building security systems.
