SPYR Inc (SPYR)

[Televet]

SPYR Technologies to acquire GeoTraq from JanOne for $13.5M
May 31, 2022 9:27 AM ET

SPYR Technologies (OTCQB:SPYR) said Tuesday it will acquire GeoTraq from JanOne (JAN) for $13.5M.

JAN stock more than doubled in premarket trade following the announcement.
The amount was paid in cash and SPYR shares.

At closing, SPYR issued 30M shares and delivered to JAN a 5-year promissory note in initial principal amount of $12.6M.

The note bears simple interest at 8% per annum and provides quarterly interest payments in arrears.

"GeoTraq manufactures self-contained and ultra-small mobile IoT modules for asset tracking, location-based services and sensor modules for remote monitoring," SPYR said in a statement.

The plug-and-play modules include turnkey connectivity to cloud services via GeoTraq's cloud-based WebTraq platform.

GeoTraq's initial product offerings, which are in later stages of development and testing, will be available for deployment in Q1 2023.

"We believe this transaction allows us to focus on our main business... our priority is the development of drugs with non-addictive, pain-relieving properties. This sale will help us continue to fund the necessary clinical trials for JAN101," said JAN CEO Tony Isaac.

"On completion of this acquisition, SPYR will have 2 subsidiaries, Applied Magix and GeoTraq," said SPYR CEO Tim Matula.

SPYR in Mar. said it was in talks to complete the acquisition, saying it would fit well into its IoT division.