Cascadia Capital Closes Strategic Acquisition of a Leading Provider of Identity Document Authentication Technology

Challenge

Imaging Automation had developed the next generation ID verification and authentication software platform. However, the company had reached an inflection point where it needed to either expand its sales force/sales channel to bring the solution to global markets or leverage the existing sales/distribution infrastructure of a strategic acquiror. At the same time, the M&A market for IT-based physical security solutions had begun to accelerate. This was producing substantial premiums for platform acquisitions within the security and defense industry.

Solution

Cascadia Capital leveraged its technology and security industry relationships to generate significant interest in Imaging Automation. Cascadia Capital then applied its significant domain expertise to maximize the company's positioning, resulting in extremely attractive valuation and transaction terms. This disciplined process enabled Imaging Automation to receive multiple term sheets from a group of highly strategic buyers, before ultimately being acquired by Viisage Technology.

Results

With Cascadia Capital's guidance and positioning, Imaging Automation was able to garner a valuation in excess of 5.7x LTM revenue from Viisage--a valuation well in excess of the comparable public companies and recent M&A transactions.