Australian cloud-based digital workplace software vendor LiveTiles (ASX:LVT) has announced the acquisition of next generation employee profile and directory management software company Hyperfish for $8.9 million.
The purchase price will be funded via the issue of LiveTiles shares with a base valuation of $3.66 million, or 8.74 million shares.
This will be followed by two earn outs if Hyperfish achieves annualised recurring revenue of US$1 million at 31 December 2018 and US$1.5 million at 30 June 2019, among other requirements.
“Hyperfish will enable us to extend the LiveTiles intelligent workplace platform to deliver exciting new capabilities to current and future LiveTiles customers,” LiveTiles CEO Karl Redenbach said.
US-headquartered, Hyperfish claims its team brings deep relationships with Microsoft and its channel partners.
According to the company, Hyperfish uses artificial intelligence (AI) and bot technology to automatically identify missing or incorrect employee directory information as it initiates a conversation with employees to collect and validate data.
The software automatically updates employee directory records within Microsoft Azure and Office 365, ensuring information is accurate and complete.
Hyperfish was established in 2015 by the co-founder of Nintex Brian Cook and former Microsoft executive Chris Johnson.
“Our combination with LiveTiles is a great opportunity to take the Hyperfish vision to the next level, and build a truly impactful and unique global software company,” Cook said.
On 4 May, LiveTiles announced it had been awarded a US$7 million funding package from New York's state and local governments.
The package is a combination of grants and tax credits that will be made available to the company over the next five years.
The funding was granted to support LiveTiles to establish a local hub to house its 60 sales and marketing staff. The North American Intelligent User Experience (IUX) Hub is to be located in Rochester, New York.