Intel Capital, the corporate venturing subsidiary of chipmaker Intel, will exit US-based iris recognition technology producer Delta ID in a $106m acquisition by identity verification technology provider Fingerprint Cards agreed yesterday.
Founded in 2011, Delta ID has created a cloud-based system called ActiveIris it claims is the only iris recognition system available for mobile phones, PCs, tablets and vehicles. It is also certified for use with Aadhaar, the Indian government’s biometric identity system.
Delta ID’s 15 employees will join Fingerprints’ organisational structure following the deal, which is expected to close in spring this year.
The $106m purchase price is subject to deferred payment based on the commitment of Delta ID’s management in the next two years, and another $14m in earnout payments could be added if Delta ID exceeds its 2017 revenue forecast.
Christian Fredrikson, chief executive of Fingerprint, said: “The acquisition means that we now expand our business to also include security solutions based on Delta ID’s world-leading iris recognition technology.
“Delta ID complements our current product and business range perfectly, and we see both market and customer synergies. Delta ID’s products are for instance certified to be used with Aadhaar in India, and Fingerprints has a strong customer base in China.”
Intel Capital, Delta ID’s only disclosed shareholder, invested in the company as part of a $5m series A round in 2014 which brought its overall funding to $6.1m. The deal represents Intel’s third acquisition exit this year, following Viridity Energy and Apperian.
– Image courtesy of Delta ID