Loop Insights Inc. (CVE:MTRX) has announced the signing of a letter of intent (LOI) to acquire its technology partner Passcreator, a leading European digital wallet and mobile marketing company with Tier-1 clients such as Mercedes-Benz and BMW.
The company, a provider of contactless solutions and artificial intelligence (AI) to drive real-time insights, enhanced customer engagement and automated venue tracing to the brick and mortar space, said the acquisition is expected to be completed by late January or early February 2021, subject to customary due diligence and exchange approvals.
Loop commenced a technology partnership with Passcreator early in 2020 to provide Loop with the support necessary to deliver on its anticipated first-stage developments in the sports venue, hospitality, travel, and health industries. To this end, on December 29, 2020, Loop Insights announced its most successful year in company history, including partnerships with major telecom companies TELUS and NTT DATA.
With this proposed acquisition, Loop said it is taking its partnership to the next level by both incorporating the Passcreator team and taking full control of its Wallet pass technology in anticipation of Loop’s next stage of significantly larger business developments.
Specifically, it added, significant interest garnered in the UK and European markets dictate that Loop secures and directly manages the further development of Passcreator’s Wallet Pass platform, which is able to deploy rapidly and at scale in up to 40 languages.
The Passcreator mobile wallet pass is built on Android and iOS Wallet pass technology. By acquiring Passcreator, Loop will vertically integrate its Wallet pass capabilities, as well as, gain access to Passcreator’s clients such as BMW and Mercedes Benz.
In a statement, Loop Insights CEO, Rob Anson commented: “In our December 29th review I stated that Loop was very confident that significant developments would be announced in 2021 when our partners and customers returned from their holiday breaks. With the first week of January behind us, we have good reason to believe in the potential for significant developments in the UK and Europe, so the time was right to now acquire Passcreator, secure our core technology, and bring this great team into the Loop family.”
Passcreator CEO, Mario C.G. Juhnke added: “We believe that the merging of two very proven technology companies will greatly accelerate further development and synergistic growth. Furthermore, the bridging of the markets of both Loop and Passcreator will serve to improve market resiliency and bolster confidence in the future.”
Passcreator is a brand of mediahelden GmbH, which has a goal to offer state of the art mobile marketing with modern technology first and foremost by distributing mobile wallet passes to the wallet apps on iOS or Android. The group's particular strength lies in the fact that it integrate into existing processes. Passcreator is used by various market leaders worldwide in a variety of markets and industries, predominantly in the white label version. Passcreator has been on the market since 2012, which makes it one of the most experienced market participants.
Loop Insights is a Vancouver-based Internet of Things (IoT) technology company that delivers transformative artificial intelligence (AI) automated marketing, contact tracing, and contactless solutions to the brick and mortar space.
The company's unique IoT device, Fobi, enables data connectivity across online and on-premise platforms to provide real-time, detailed insights and automated, personalized engagement with the ability to integrate seamlessly into existing infrastructure and customize campaigns according to each vertical, creating a highly scalable solution for its prospective global clients that span industries.
Loop Insights operates in the telecom, casino gaming, sports and entertainment, hospitality, and retail industries, in Canada, the US, the UK, Latin America, Australia, Japan, and Indonesia. Loop's products and services are backed by Amazon's Partner Network and sold through the TELUS IoT Marketplace.
Contact the author at jon.hopkins@proactiveinvestors.com