Nanotech Security Corp. has today announced that it has made an agreement to purchase 100% of Fortress Optical Features Ltd, who produce optical thin film used as banknote security threads.
Vancouver based Nanotech, which designs and manufactures nanotechnology for use in anti-counterfeiting and authentication products, has made the agreement with Fortress Global Securities Sarl, a subsidiary of Fortress Paper Ltd, also based in Vancouver.
The purchase price of $17.5 million is divided into $7 million cash, a $3 million secured note and 5 million common shares of Nanotech priced at $1.50 per share, 3 million of which will be held in escrow and released to the Company after certain business milestones are achieved.
CEO of Fortress Paper, Chadwick Wasilenkoff, said:
“The sale of FOF is in line with our strategic plan to focus on the dissolving pulp and security paper products segments, enhance liquidity, as well as unlocking shareholder value. Fortress originally acquired FOF to complement its business at Landqart. The ongoing supply of OTM to Landqart following the sale will preserve this relationship including established synergies, and provide access to volumes at favoured prices going forward. We would like to acknowledge the contributions made by the management of FOF over the years, and we look forward to continuing our business relations with them and Nanotech.”
The sale of FOF is in line with our strategic plan to focus on the dissolving pulp and security paper products segments, enhance liquidity, as well as unlocking shareholder value. Fortress originally acquired FOF to complement its business at Landqart. The ongoing supply of OTM to Landqart following the sale will preserve this relationship including established synergies, and provide access to volumes at favoured prices going forward. We would like to acknowledge the contributions made by the management of FOF over the years, and we look forward to continuing our business relations with them and Nanotech. – See more at: http://www.lesprom.com/en/news/Fortress_Paper_agrees_to_sell_its_Fortress_Optical_Features_to_Nanotech_Security_63540/#sthash.IEwwnGyU.dpufThe sale of FOF is in line with our strategic plan to focus on the dissolving pulp and security paper products segments, enhance liquidity, as well as unlocking shareholder value. Fortress originally acquired FOF to complement its business at Landqart. The ongoing supply of OTM to Landqart following the sale will preserve this relationship including established synergies, and provide access to volumes at favoured prices going forward. We would like to acknowledge the contributions made by the management of FOF over the years, and we look forward to continuing our business relations with them and Nanotech. – See more at: http://www.lesprom.com/en/news/Fortress_Paper_agrees_to_sell_its_Fortress_Optical_Features_to_Nanotech_Security_63540/#sthash.IEwwnGyU.dpufThe sale of FOF is in line with our strategic plan to focus on the dissolving pulp and security paper products segments, enhance liquidity, as well as unlocking shareholder value. Fortress originally acquired FOF to complement its business at Landqart. The ongoing supply of OTM to Landqart following the sale will preserve this relationship including established synergies, and provide access to volumes at favoured prices going forward. We would like to acknowledge the contributions made by the management of FOF over the years, and we look forward to continuing our business relations with them and Nanotech. – See more at: http://www.lesprom.com/en/news/Fortress_Paper_agrees_to_sell_its_Fortress_Optical_Features_to_Nanotech_Security_63540/#sthash.IEwwnGyU.dpuf
