WISeKey Set To Acquire Germany's AI And Automation Platform Maker Arago

WISeKey International Holdings ADR (NASDAQ: WKEY) acquired a majority stake of 51% in the German tech company Arago to tap the budding cybersecurity AI-enabled knowledge automation market.
It has also entered a binding agreement to acquire the remaining minority interest thereof.
Arago is valued at close to CHF 100 million, roughly translating into $112 million, based on preceding share transactions.
Arago’s customer base and licensing revenue model reflects material revenue synergy potential and consolidation of WISeKey’s position in the bourgeoning Artificial Intelligence of Things market.
Arago’s Knowledge Automation and Data platform HIRO are expected to deliver materially higher automation rates at a relatively cheaper operational cost under fully auditable steps defined and approved by the customer.
Arago’s MD Hans-Christian Boos was elected to the WISeKey board.
Class B share was created to issue up to 12.3 million new shares, for CHF 0.05 per share towards the purchase price.
The Class B shares will be issued to finalize the acquisition of Arago’s remaining minority interest and the companies’ amalgamation.
Price action: WISeKey shares are up by 5.48% at $6.74 in the pre-market session on the last check Monday.