DELRAY BEACH, Fla., Dec. 08, 2015 (GLOBE NEWSWIRE) -- PositiveID Corporation (“PositiveID” or “Company”) (OTCQB:PSID), a life sciences company with an extensive patent portfolio, announced today that it has entered into a First Amendment to the Stock Purchase Agreement to acquire Thermomedics, Inc., which markets the FDA-cleared Caregiver® non-contact thermometer, and entered into a Management Services and Control Agreement, whereby the seller of Thermomedics has fully transferred control of Thermomedics to PositiveID.
In conjunction with these agreements, PositiveID has replaced all of the directors and officers of Thermomedics, Inc. Gary O’Hara, Chief Technology Officer of Thermomedics, and Ron Benincasa, Vice President of Sales and Marketing of Thermomedics, will continue as the leaders of the Caregiver business.
Caregiver is a clinical grade, infrared thermometer for measurement of forehead temperature in adults, children, and infants, without contact. Since there is no skin contact and Caregiver does not require probe cover supplies, it reduces the risk of cross-contamination and saves healthcare facilities the cost of covers (which are as much as $0.05 to $0.15 per temperature), storage space, and waste disposal costs. Caregiver is the world’s first non-contact device with TouchFree™ technology and was developed by the inventors of tympanic thermometry.
Thermomedics currently has agreements with the world’s leading healthcare product distributors. The established distribution and customer channels, including the federal government, for Caregiver are expected to provide synergies to PositiveID as it continues the development and testing of its Firefly Dx real-time pathogen detection system and prepares for commercialization.
“We are very excited about the evolving business opportunities for Caregiver, which we expect to contribute revenue to the Company in 2016,” stated William J. Caragol, Chairman and CEO of PositiveID. “Further, the additional qualitative synergies of an experienced management team with proven regulatory, sales, distribution and manufacturing expertise we believe will be of great value when we reach commercialization of Firefly Dx.”
The global market for temperature monitoring devices is forecast to reach $1 billion by 2020, with infrared thermometers experiencing the fastest growth driven in part by concerns over the spread of highly infectious diseases like Ebola, according to Global Industry Analysts, Inc.
Pursuant to the Management Services and Control Agreement, PositiveID has sole responsibility for all strategic, operational and financial decisions of Thermomedics and will be fully responsible for its financial obligations. PositiveID will also benefit from any and all revenue generated by Thermomedics. The Company expects the closing of the Stock Purchase Agreement to occur in the first quarter of 2016.
Further details of the First Amendment to the Stock Purchase Agreement and the Management Services and Control Agreement are described in a Form 8-K filed with the SEC by PositiveID on December 7, 2015.
About PositiveID Corporation
PositiveID Corporation is a life sciences tools and diagnostics company that develops biological detection systems for point-of-need testing and America’s homeland defense industry. PositiveID is focused on the development of microfluidic systems for the automated preparation of and performance of biological assays in order to detect biological threats and analyze biological samples. For more information on PositiveID, please visit http://www.psidcorp.com, or connect with PositiveID on Twitter, Facebook or LinkedIn.
Statements about PositiveID's future expectations, including the likelihood that the established distribution and customer channels, including the federal government, for Caregiver are expected to provide synergies to PositiveID as it continues the development and testing of its Firefly Dx real-time pathogen detection system and prepares for commercialization; the likelihood that the evolving business opportunities for Caregiver will contribute revenue to the Company in 2016; the likelihood that the additional qualitative synergies of an experienced management team with proven regulatory, sales, distribution and manufacturing expertise will be of great value when the Company reaches commercialization of Firefly Dx; the likelihood that the global market for temperature monitoring devices will reach $1 billion by 2020, with infrared thermometers experiencing the fastest growth driven in part by concerns over the spread of highly infectious diseases like Ebola; the likelihood that the Stock Purchase Agreement will close in the first quarter of 2016; constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Litigation Reform Act of 1995. Such forward-looking statements involve risks and uncertainties and are subject to change at any time, and PositiveID’s actual results could differ materially from expected results. These risks and uncertainties include, without limitation, the Company’s ability to target the bio-threat detection and rapid medical testing sectors; the Company’s ability to complete the development and commercialization of its Firefly Dx system; the Company’s ability to complete the acquisition of Thermomedics; as well as other risks. Additional information about these and other factors that could affect the Company's business is set forth in the Company’s various filings with the Securities and Exchange Commission, including those set forth in the Company's 10-K filed on March 30, 2015, and 10-Qs filed on November 12, 2015, August 13, 2015, and May 15, 2015, under the caption “Risk Factors.” The Company undertakes no obligation to update or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this statement or to reflect the occurrence of unanticipated events, except as required by law.