Although they kept the numbers out of the press release, Sam found an SEC filing that makes the deal look like "a $30-million acquisition of Hirsch by SCM, with Hirsch shareholders acquiring another $14.1 million worth of warrants to buy more SCM stock at $3 a share, which is about double the price it's trading at right now on NASDAQ."
There's a lot of buzz in the market about logical-physical convergence on the access control side and at first blush, this seems to be a good move for both companies to better compete in this space. But I wonder if there is enough market demand for these types of solutions right now? The press release says "the combination of SCM and Hirsch is expected to result in a new security products leader at a time of escalating market demand for converged security solutions leveraging smart cards and smart chip-enabled devices." I'm hoping to have more for next week's newswire.