L-1 locks up Digimarc purchase
- By David Hubler
- Aug 14, 2008
L-1 Identity Solutions Inc. has purchased all outstanding shares of Digimarc Corp., completing its acquisition of Digimarc's identification systems business.
In March, L-1 Identity Solutions said it would purchase Digimarc's identification systems business for $250 million in a cash and stock deal. But in June, L-1 signed an amended definitive merger agreement, which reassessed the value of Digimarc's ID systems business at $310 million.
Digimarc, based in Beaverton, Ore., provides solutions for protecting, managing and commercializing all forms of digital media, including government-issued identification cards. Its products and services result in the annual production of more than 60 million personal ID documents, including ID solutions for more than 25 countries.
L-1 Identity Solutions, of Stamford, Conn., announced Aug. 4 that it had successfully completed the initial tender offering period for the purchase of Digimarc common stock. A subsequent offering period expired Aug. 13.
Immediately following exercise of the option, Digimarc became a wholly owned subsidiary of L-1 and its name was changed to L-1 Secure Credentialing Inc. According to the company's previous announcement, Digimarc common stock will cease to be traded on the Nasdaq Global Market.
David Hubler is the former print managing editor for GCN and senior editor for Washington Technology. He is freelance writer living in Annandale, Va.