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Invigor set to unlock value in Skyware

Invigor set to unlock value in Skyware

Published on: | by finfeed

Leading data and analytics solutions company, Invigor Group (ASX:IVO), today confirmed its intention to unlock the value of its logistics and workforce management cloud-based software business, Skyware Service Control.

A number of options are being considered, including a potential spin-off.

As a first step, IVO has secured a cornerstone investor in the wholly owned Skyware business through a $500,000 note. This provides the investor with the option to convert to a five per cent equity holding in Skyware. The investor also has the right to invest a further $500,000 within 60 days of the first investment on the same valuation metrics.

Should the transaction not proceed, the investor has the right to convert the note into IVO scrip at $0.01 per share, subject to shareholders refreshing IVO’s capacity to issue shares at the upcoming general meeting on 27 February.

It should be noted, however, that this is an early stage tech company and success is no guarantee. Investors should seek professional financial advice before making an investment.

Further to this, Skyware continues to secure new long-term revenue-generating workforce management and logistics contracts in Europe.

IVO is pursuing over $4 million of new contracts in Germany, and Skyware is targeting $50 million worth of new business opportunities across identified markets in Europe and the Asia Pacific over the next three years.

According to IVO, tendering activity is growing at record levels, with considerable progress made in expanding the new business pipeline.

IVO CEO, Gary Cohen, said: “We are currently exploring options to maximise the value of Skyware and to fund its growth in what we believe to be a very lucrative and growing SaaS market.”

“The need to manage remote workforces is becoming more compelling, especially with the growth of ecommerce and mobility. Case studies have demonstrated very large cost savings for organisations.”

“This investment of up to $1 million in Skyware for a 10% stake will enable the company to accelerate its plans to unlock the value of this unique business,” Cohen continued.

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