Advanced Logistics Development (ALD), a publicly-traded company on the Tel Aviv Stock Exchange, plans on merging with OurCrowd backed cyber company HUB Security. The cyber firm, which is also supported by global insurance leader AXA, announced that the merger will lead a $65 million cash injection to the company.
$145M post-money valuation
HUB Security developed technology that provides advanced encrypted computing solutions for companies and organizations aiming to prevent hostile intrusion and exposure of sensitive data while protecting commercial IP and key information from theft. HUB mentions that it operates under the state that your organization has already been “hacked”. The company's hardware and software-based solutions will enable the most sensitive companies and organizations to run artificial intelligence applications at the highest level of security required for healthcare, critical infrastructure, and finance.
Both companies see the advantage behind the merger with HUB Security’s technological innovation paired with ALD’s global sales infrastructure and network of market-leading clientele. HUB reports that institutional investors have pledged around $65 million upon completion of the merger. According to the terms of the deal, once completed, Hub will control 51% of the board of the newly merged company - which should see a post money valuation of $145 million.
HUB Security was founded in 2017 by CEO Eyal Moshe and CTO Andrey Iaremenko, both former veterans of the Israeli military’s elite intelligence units. The completion date for the merger is scheduled to take place May 31st, 2021. The merger and fundraising efforts are being led by the investment firm A-Labs Advisory & Finance Ltd., alongside Clover Wolf Capital Fund.
Eyal Moshe, CEO and founder of HUB Security stated, “This is one of those rare cases where a company merger happens naturally with complete synergy. The merger with ALD will provide HUB with a global marketing infrastructure that would have taken us years to establish independently, connecting us with dozens of potential high-profile customers from the world's leading brands, including governmental institutions, insurance conglomerates, commercial banks and others."