Atomos (ASX:AMS) set to acquire Timecode Systems
Atomos (ASX:AMS) has signed an agreement to acquire Timecode Systems for approximately $5.68 million in cash and approximately 9.2 million shares in Atomos.
Timecode is a UK based company that has developed a patented technology to enable multiple audio and video capture devices to wirelessly synchronise.
Atomos has been a licensee of Timecode’s technology which is already integrated in Atomos’ latest products.
Leveraging Atomos’ distribution channels, customer relationships and supplier arrangements, material revenue growth and cost synergies are expected to boost earnings in the 2021 financial year.
The acquisition will be financed by the company’s recent $22.56 million institutional placement.
Shares in Atomos (ASX:AMS) are trading 3.2 per cent higher at $1.46.
Copyright 2019 – Finance News Network
Source: Finance News Network
