NexBis flags new security company investments

Security solutions provider NexBis (ASX:NBS) has made significant investments in two companies — TrustDefender and UKI Asia Pacific -— as part of a diversification and transformation strategy at the company.

NexBis will invest $16 million for a 50.08 per cent stake in the Australian-based provider of real-time forensic security and authentication products, TrustDefender.

The UKI Asia Pacific deal sees NexBis investing $15 million for up to 16.66 per cent of the supplier of product authentication, track and trace, and supply chain management solutions.

In a statement to the Australian Stock Exchange, NexBis chief executive officer, Johann Young, said that the deal with TrustDefender would allow the company to provide a proprietary virtual security solution to the financial institution sector among other markets.

NexBis also expects the deal will see the creation of a mobile application version of the TrustDefender solution and an offering for the anti-credit card fraud market.

The UKI deal, expected to be complete by 31 March, would allow NexBis to tap into the expanding product authentication and anti-counterfeiting sector which attempts to address the annual estimated $US700 billion global revenue loss to counterfeiting.

NexBis has also reported that it has completed an institutional capital raising of $9.7 million through a placement of 64.9 million shares at $0.15.

In January the company flagged it would likely make a net loss after tax for the half year to 31 December 2009 of up to $16 million despite improving its cash position by $9.55 million since 30 June 2009.

It said a combination of a $6.6 million non-cash accounting adjustment, $0.6 million in foreign exchange loses, and $4.5 million related to “impairment of receivables” for its Malaysian NexCode project were largely responsible for the result.

• Bookmark this page
• Share this article
  •  
  • facebook
  • slashdot
  • digg
  • Reddit
  • stumbleupon
  • linkedin
  • twitter
• Got more on this story? Email Computerworld
• Follow Computerworld on twitter

• Share
  Share this article

  •  google+
  • facebookfacebook
  • slashdotslashdot
  • diggdigg
  • RedditReddit
  • stumbleuponstumbleupon
  • linkedinlinkedin
  • twittertwitter
• print
• email
• Bookmark