Date: September 4, 2024
WiSA Technologies Inc. (NASDAQ: WISA), known for its groundbreaking work in audio and data transmission, saw a significant surge in its stock price today, jumping 97.06% to close at $2.68. This increase coincides with the company’s latest move in the tech sphere—a definitive asset purchase agreement to acquire the intellectual property and IT assets of Data Vault Holdings Inc. for a robust $210 million.
The Deal at a Glance
Under the terms of the agreement, WiSA Technologies will issue 40 million shares at $5 per share and a $10 million 3-year promissory note. This strategic acquisition is set to reshape the company’s direction, focusing on monetizing Blockchain Data and AI Web 3.0 assets through advanced technologies like tokenization and digital twins. The closing, pending stockholder approval, is anticipated by the end of 2024.
Strategic Implications for WiSA
Post-acquisition, WiSA Technologies will broaden its offerings into two primary sectors:
- Data Sciences: Licensing high-performance computing (HPC) applications and managing Web 3.0 data across various industries including biotech, fintech, and healthcare.
- Acoustic Sciences: Providing advanced spatial and multichannel HD sound transmission technologies to a diverse array of sectors from sports to automotive.
Brett Moyer, CEO of WiSA Technologies, highlighted the transaction as a pivotal moment to leverage their public structure, enhancing their spatial audio technology with Datavault’s impressive IP portfolio.
Leadership and Future Directions
Following the transaction, Nathaniel T. Bradley, currently the CEO of Data Vault Holdings, will assume the CEO role of the newly formed entity, to be renamed Datavault Inc., with Moyer stepping into the CFO position. Bradley brings a wealth of experience, having successfully commercialized IP across various sectors and holding over 70 international patents.
About Datavault Platform
The Datavault platform specializes in secure, customizable solutions for managing and monetizing data. This includes encryption technology that attaches real-world objects to blockchain, ensuring privacy and fostering responsible AI use. The platform’s innovative approach to data monetization through licensing and partnerships aims to redefine data utility in the Web 3.0 environment.
Financial and Legal Considerations
The financial structure of the deal involves:
- $200 million in restricted common stock.
- A $10 million unsecured promissory note with specific financing repayment terms.
- A future 3% royalty on revenues from Datavault and ADIO product lines.
This acquisition not only promises to bring about innovative solutions but also aims to significantly enhance shareholder value through expanded market reach and technology integration.
WiSA Technologies and Data Vault Holdings will jointly host an investor conference call to discuss the transaction details and future plans, marking a new chapter in their journey towards becoming a leader in the data technology and licensing space.
