Under terms of a non-binding term sheet, iWow will pay $11.2 million, which will consist of $7.2 million in cash, and the balance in new shares to be issued at a price and quantum to be confirmed.
iWow is not saying for now the name of the company to be acquired, although it says that the target is already serving institutional customers, including healthcare and eldercare organisations, and is expanding into the consumer market.
iWow Technology shares last traded at 42 cents, up 118.42% in the past year.
