BOSTON-Diversinet Corp. said it has expanded its opportunities in the financial services and government sectors by acquiring Caradas Inc. in an all-stock transaction. Caradas provides a credential management platform for the financial services industry.
“The list of the wireless sector’s potential killer applications is expanding rapidly, including everything from new types of mobile payment techniques to software applications that enable a work force to go wireless,” said Nagy Moustafa, president and chief executive officer of Diversinet. “Our acquisition of Caradas puts us in a position to provide the security infrastructure for many of those applications.”
Under the agreement, Diversinet said it has issued Caradas stockholders 1.35 million common shares and 200,000 share purchase warrants at $2.45 exercisable over five years. Of the 1.35 million shares, 1.15 million will be held in escrow for a year and released on an equal monthly basis in the second year. The remaining 200,000 shares will be registered with the U.S. Securities and Exchange Commission after the transaction closes.
Diversinet provides secure mobile solutions for the enterprise, financial services and gaming markets.
