AUSTRALIAN company Quantum Resources will acquire Israel-based RFID company LogiTag Systems.
LogiTag Systems provides radio frequency identification devices (RFID) and inventory management systems to the global healthcare market. Quantum Resources says the acquisition will help it tap into lucrative market: the RFID medical device inventory management market is valued at circa US$13 billion in Europe and North America alone.
LogiTag’s cloud-based end-to-end inventory management system has already been deployed in hospitals and facilities across Israel and US.
Quantum says it will raise a minimum of $6M under a prospectus to fund growth of LogiTag’s existing customer base in the healthcare sector and aggressive expansion into other markets.
Once the acquisition is completed in March 2016, Quantum Resources plans to change its name to "LogiTag Systems Limited".
The existing experienced senior management team of LogiTag, led by Shlomo Matityaho, the owner, founder and CEO of LogiTag, will remain with the Company, and will be appointed CEO of the Company upon completion of the acquisition.
Mr. Avi Kimelman, CEO of Quantum commented, “We are delighted to have entered into this binding agreement to acquire LogiTag. We have enjoyed a close working relationship with LogiTag, and have seen their outstanding success in countries including Israel and USA.”
Quantum Resources says LogiTag’s strength is currently in IoT RFID enabled Medical Inventory Management, but the solutions can be adapted to other industries and markets such as manufacturing, retail and security.