Predictmedix (PMED.C) has inked an letter of intent (LOI) to acquire AI and IoT tech suite, Symp2Pass, and are working on the definitive agreement today, according to a press release.
The acquisition will help bolster PMED’s growth prospects and will align the product’s company sales with their stated goal of being the first line of defense in improving workplace health and safety.
“There is one word that encapsulates our decision to acquire the Symp2Pass product suite from SmartCone – synergy. From a technology to business development, the acquisition will lead to function improvements in product offerings for both companies. Not only does this mean that all of our existing technologies become better, but also that we’re ramping up revenue generation and building toward sustained, growing profitability with a broader, more robust client base and product offerings,” said Dr. Rahul Kushwah, COO of Predictmedix.
Symp2Pass is a company offering an artificial intelligence and internet of things technology suite originally developed by SmartCone Technologies.
What does this improve?
Data Collection and Improvement
Artificial intelligence runs on data and Symp2Pass generates large, high quality data sets that PMED can use to improve its symptom detection and disease screening technologies.
Complimentary product installation
Symp2Pass product deployments will be reconfigured to properly integrate with Predictmedix’s software suite. This will enhance the functional and operational efficiency of technologies offered by both companies, and therefore push the benefits onto the company’s customers.
For example, Symp2Pass’s thermal canning capabilities allow scans to work at an accuracy of ± 0.54° F, and can scan up to 30 people at a distance of over nine feet. On the other end, PMED”s infectious diseases screening algorithms will be able to develop non-invasive screening at scale.
Revenue and Market Expansion
The product suite brought in $2.27 million in generated revenues for the fiscal year ending December 31, 2020 with earnings before taxes of $205,000. Their present clients include an agency within the Canadian government and a large US utility provider. That’s what they have right now, but the ability to screen individuals at entrances and from a distance has considerable utility anywhere large populations gather—including universities, large institutional organizations, as well as government agencies. The acquisition invites certain future customer contracts based on a reoccurring revenue model, which will push PMED to profitability and therefore stakeholder value.
Here’s Symp2Pass’s CEO Richard Harris elaborating on the use-value of the tech-suite:
“We at Symp2Pass are very excited to be collaborating with Predictmedix to provide everyone with the first full end-to-end COVID health screening solution. This collaboration will integrate AI (artificial intelligence), biometric analysis, patented hardware and web processes, entrance monitoring, employee tracking and much more. The complete Symp2Pass process will allow people, businesses, governments and countries to get back to work quickly and profitably. Simply, we see it as a future standard for continuing public health and mobility beyond COVID19.”
The terms of the LOI place the value at $5 million paid in $1 million in cash and the remainder in PMED shares with milestones in place. When the transaction closes, Sympt2pass will become Predictmedix subsidiary.
Here’s an interview discussing the acquisition:
https://www.youtube.com/watch?v=KZTOVCX5Tm4
PMED is up $0.025 today and closed at $0.385.
—Joseph Morton
Full disclosure: Predictmedix is an equity guru marketing client.