- Email: [email protected]
Company News
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BUSINESS WATCH
Company News • Voice Security Systems Inc has announced a strategic decision to pursue a new business model in light of current financial market conditions. As part of the change to the structure, the company has said that it will license its technology instead of selling it directly. Sherrie Adcock, President of Voice Security Systems told Btt that the company is continuing discussions with prospective investors to raise additional capital. • IdentAlink has signed a Value Added Reseller agreement with Epinet Communications PLC. The deal between the two companies will enable Epinet to integrate IdentAlink’s BioPassport Enterprise Server with its Designer Mail product. Epinet will also propose the addition of BioPassport to major clients who have supported the development of Designer Mail in the past. IdentAlink also announced a Value Added Reseller Agreement (VAR) with Creativa 3000 TG of Puerto Rico. Under the terms of the agreement, Creativa 3000 TG will be the sole supplier of IdentAlink’s BioPassport products to customers in Central America. • Stratabase — a Canadian provider of Open Source CRM software – has formed a relationship with Identix, allowing it to provide biometric solutions to its CRM customers. • Keyware has announced that it has signed six new companies to its reseller partner programme. The signing of OneSync (UK), Heltel and NetMedia (Finland), Alternative Computer Technologies, Ensodex and NuFocus (US) brings Keyware’s total number of channel partners or Value Added Resellers to ten. According to the company, these agreements could generate annual revenue of between US$ 250 000 and US$ 1 000 000 per partner, per year.
6
Financial results
Polaroid falls victim to financial pressures Polaroid Corporation is yet another global name to suffer as a result of US financial pressures. On October 12th, the company issued a statement announcing that, following the year’s steep decline in its revenue and the resulting impact on its liquidity, the company and its US subsidiaries have filed voluntary petitions for reorganisation under Chapter 11 of the US Bankruptcy Code. In an interview with Btt, Anne McCarthy, Vice President, Corporate Communications, Polaroid, explained: “We’re continuing business as usual, although our current objective is to sell the company in total or in parts. Our non-US subsidiaries, including those in Europe, Asia and Japan, are not part of the filing.” At present, it is unclear what will happen to Polaroid’s biometrics division, although Phil Scarfo, Vice President, Biometrics Division, told Btt: “We are currently working hard to ensure that we continue to deliver to those customers who are dependent on us. There are great opportunities for biometrics today and our team looks forward to commercialising biometrics technology in large-scale security applications, leveraging our significant biometrics experience.” Contact: Phil Scarfo at Polaroid, Email: [email protected]
Investment
Biometrics stock rises following US attacks Anyone following the market in the aftermath of September’s terrorist attacks on the US, can’t have failed to notice the impact that the tragedies had on the stock of some leading biometrics companies. In the weeks following the events, biometrics seem to have rarely been out of the headlines, with many people in the mainstream media speculating about the numerous potential uses for the technology, including aviation security, border control and national ID projects. Opinion polls have revealed a surge in enthusiasm from the general public for biometrically-enhanced security: according to a Harris Poll conducted between 19-24 September, 86% of people interviewed said that they were in favour of the use of facial recognition technology to scan for suspected and known terrorists. In addition, rumours about increased government spending for identification purposes have helped to increase the value of certain shares. Amongst the market highlights, Visionics’ stock soared by 90 percent when the Nasdaq reopened on
Monday 17th September. Imagis Technologies also reported a substantial increase in its stock price. Viisage’s shares more than doubled when markets reopened and Identix’s shares rose from around US$3 to US$7.20. A month after the markets reopened, share prices for many biometric companies remain buoyant. However, some commentators are urging caution, fearing the creation of a post-dot.com boom. Pointing to the fact that many companies are barely profitable, some analysts fear that ‘frenzied investors’ may be expecting more from their investment than any biometric company could realistically expect to deliver. Although this point may have some validity, other analysts are drawing on the developments that biometrics were making before September’s events to show their potential in the marketplace. Such advances include passenger processing at Heathrow Airport, UK and surveillance in the London Borough of Newham, UK.
Investment
Investors give biometrics thumbs up A healthy number of new investments have been announced this month, helping to counter the bad news from some of the biometric industry’s recent high profile failures. Biometric Access Corporation has closed a US$12 million Series B funding round, which was led by Perseus 2000 LLC, with additional participation by BAC Board member David Peipers and his affiliates. The company reports that it will use the latest funds for continued development of its SecureTouch products, for expanded technology research and to support the company’s growth. Elsewhere, Sense Holdings has announced that it has secured US$1,055,000 in investment, which will be used to accelerate the development of its biometric security and explosives detection products. Meanwhile, Visionics has completed a US$20 million private placement of common stock. Under the terms of the financing, Visionics sold approximately 1.8 million shares at US$11.10 per share – representing a 10% discount to market close on Thursday October 4th, which was US$12.34 per share. “This new investment positions us well to respond to the anticipated demand for all of our product offerings,” commented Joseph Atick, Chairman and CEO of Visionics. “It provides us with the working capital and needed resources to propel our growth and maximise shareholder value,” he added. Contact: Holly Rios at BAC, Tel: +1 512 246 3760 Dore Perler at Sense Holdings, +1 954 726 1422 Joseph Atick at Visionics, +1 201 332 9213
Biometric Technology Today • November/December 2001
11/7/01
3:15 PM
Page 6
(Black plate)
BUSINESS WATCH
Company News • Voice Security Systems Inc has announced a strategic decision to pursue a new business model in light of current financial market conditions. As part of the change to the structure, the company has said that it will license its technology instead of selling it directly. Sherrie Adcock, President of Voice Security Systems told Btt that the company is continuing discussions with prospective investors to raise additional capital. • IdentAlink has signed a Value Added Reseller agreement with Epinet Communications PLC. The deal between the two companies will enable Epinet to integrate IdentAlink’s BioPassport Enterprise Server with its Designer Mail product. Epinet will also propose the addition of BioPassport to major clients who have supported the development of Designer Mail in the past. IdentAlink also announced a Value Added Reseller Agreement (VAR) with Creativa 3000 TG of Puerto Rico. Under the terms of the agreement, Creativa 3000 TG will be the sole supplier of IdentAlink’s BioPassport products to customers in Central America. • Stratabase — a Canadian provider of Open Source CRM software – has formed a relationship with Identix, allowing it to provide biometric solutions to its CRM customers. • Keyware has announced that it has signed six new companies to its reseller partner programme. The signing of OneSync (UK), Heltel and NetMedia (Finland), Alternative Computer Technologies, Ensodex and NuFocus (US) brings Keyware’s total number of channel partners or Value Added Resellers to ten. According to the company, these agreements could generate annual revenue of between US$ 250 000 and US$ 1 000 000 per partner, per year.
6
Financial results
Polaroid falls victim to financial pressures Polaroid Corporation is yet another global name to suffer as a result of US financial pressures. On October 12th, the company issued a statement announcing that, following the year’s steep decline in its revenue and the resulting impact on its liquidity, the company and its US subsidiaries have filed voluntary petitions for reorganisation under Chapter 11 of the US Bankruptcy Code. In an interview with Btt, Anne McCarthy, Vice President, Corporate Communications, Polaroid, explained: “We’re continuing business as usual, although our current objective is to sell the company in total or in parts. Our non-US subsidiaries, including those in Europe, Asia and Japan, are not part of the filing.” At present, it is unclear what will happen to Polaroid’s biometrics division, although Phil Scarfo, Vice President, Biometrics Division, told Btt: “We are currently working hard to ensure that we continue to deliver to those customers who are dependent on us. There are great opportunities for biometrics today and our team looks forward to commercialising biometrics technology in large-scale security applications, leveraging our significant biometrics experience.” Contact: Phil Scarfo at Polaroid, Email: [email protected]
Investment
Biometrics stock rises following US attacks Anyone following the market in the aftermath of September’s terrorist attacks on the US, can’t have failed to notice the impact that the tragedies had on the stock of some leading biometrics companies. In the weeks following the events, biometrics seem to have rarely been out of the headlines, with many people in the mainstream media speculating about the numerous potential uses for the technology, including aviation security, border control and national ID projects. Opinion polls have revealed a surge in enthusiasm from the general public for biometrically-enhanced security: according to a Harris Poll conducted between 19-24 September, 86% of people interviewed said that they were in favour of the use of facial recognition technology to scan for suspected and known terrorists. In addition, rumours about increased government spending for identification purposes have helped to increase the value of certain shares. Amongst the market highlights, Visionics’ stock soared by 90 percent when the Nasdaq reopened on
Monday 17th September. Imagis Technologies also reported a substantial increase in its stock price. Viisage’s shares more than doubled when markets reopened and Identix’s shares rose from around US$3 to US$7.20. A month after the markets reopened, share prices for many biometric companies remain buoyant. However, some commentators are urging caution, fearing the creation of a post-dot.com boom. Pointing to the fact that many companies are barely profitable, some analysts fear that ‘frenzied investors’ may be expecting more from their investment than any biometric company could realistically expect to deliver. Although this point may have some validity, other analysts are drawing on the developments that biometrics were making before September’s events to show their potential in the marketplace. Such advances include passenger processing at Heathrow Airport, UK and surveillance in the London Borough of Newham, UK.
Investment
Investors give biometrics thumbs up A healthy number of new investments have been announced this month, helping to counter the bad news from some of the biometric industry’s recent high profile failures. Biometric Access Corporation has closed a US$12 million Series B funding round, which was led by Perseus 2000 LLC, with additional participation by BAC Board member David Peipers and his affiliates. The company reports that it will use the latest funds for continued development of its SecureTouch products, for expanded technology research and to support the company’s growth. Elsewhere, Sense Holdings has announced that it has secured US$1,055,000 in investment, which will be used to accelerate the development of its biometric security and explosives detection products. Meanwhile, Visionics has completed a US$20 million private placement of common stock. Under the terms of the financing, Visionics sold approximately 1.8 million shares at US$11.10 per share – representing a 10% discount to market close on Thursday October 4th, which was US$12.34 per share. “This new investment positions us well to respond to the anticipated demand for all of our product offerings,” commented Joseph Atick, Chairman and CEO of Visionics. “It provides us with the working capital and needed resources to propel our growth and maximise shareholder value,” he added. Contact: Holly Rios at BAC, Tel: +1 512 246 3760 Dore Perler at Sense Holdings, +1 954 726 1422 Joseph Atick at Visionics, +1 201 332 9213
Biometric Technology Today • November/December 2001