Identiv announced that it has entered into a definitive agreement to sell its IoT business operating assets and Thai subsidiary to Trackonomy Systems.
Identiv is a provider of RFID- and Bluetooth Low Energy-enabled Internet of Things solutions. Trackonomy is a pioneer in battery-powered smart labels and a global physical AI company serving major enterprises across healthcare, airline, logistics, manufacturing, and government markets.
Under the agreement, Identiv will sell its IoT assets, including its German R&D center and Thai subsidiary, and contribute $25 million in cash in exchange for $50 million in Trackonomy preferred equity. Identiv said the cash contribution is intended to support integration efforts and fund incremental capital expenditures, including the scale-up of high-volume opportunities.
The companies have also entered into a strategic partnership framework agreement to work toward a definitive agreement focused on future software opportunities leveraging Trackonomy’s physical AI platform.
After the transaction closes, Identiv plans to focus on building a physical AI SaaS business that is synergistic with Trackonomy’s platform. Identiv said its post-closing strategy will center on acquiring highly complementary SaaS companies in regulated industries using a combination of cash and stock.
Identiv expects those acquired software assets to be integrated into Trackonomy’s physical AI data platform through the anticipated strategic partnership. The company said this approach is intended to add a physical AI data and infrastructure layer to the acquired SaaS businesses, creating customer value and competitive differentiation.
The sale is expected to close in the third quarter or early fourth quarter of fiscal 2026. The transaction remains subject to customary closing conditions, including Identiv stockholder approval.
Identiv intends to remain publicly listed on Nasdaq under the ticker symbol “INVE.” However, the Identiv name and brand are included in the sale of the IoT business operating assets, so the remaining public company will change its name after the transaction closes.
Trackonomy’s platform uses low-cost, cloud-connected sensors and AI to provide real-time visibility and intelligence for physical goods and assets. The privately held company has raised more than $250 million and is backed by investors including 8VC, Kleiner Perkins, Koch Disruptive Technologies, and In-Q-Tel.
Identiv said the deal is expected to create strategic and operational synergies between the two businesses. Trackonomy’s acquisition of Identiv’s operations, including its Thailand manufacturing site, is intended to support rising production demand, increase utilization, and drive cost efficiencies.
Identiv also announced that its Board of Directors increased the company’s stock repurchase program to $40 million. The company intends to repurchase shares after the transaction closes, adding about $32 million to the roughly $8.1 million currently available under the program.
Raymond James & Associates is serving as Identiv’s financial advisor, and Pillsbury Winthrop Shaw Pittman is serving as legal advisor. Cooley is serving as legal advisor to Trackonomy.
KEY QUOTES:
“After conducting an extensive review of strategic alternatives, Identiv’s Board of Directors is pleased that the process has resulted in this unique value-creating transaction that will benefit our multiple stakeholders.”
“Our largest shareholder is supportive of this transaction and has entered into a voting agreement with the company and Trackonomy. The Identiv Board also unanimously supports this transaction and Identiv’s go-forward business strategy.”
“Importantly, Identiv stockholders will be able to benefit from potential upside that may be realized from our expected strategic partnership with Trackonomy and future value creating opportunities long after transaction close.”
James Ousley, Chairman of the Board of Identiv
“I am incredibly proud that Trackonomy recognizes our team’s achievements and specialized RFID and BLE capabilities. This transaction significantly transforms the company by streamlining and reducing execution risk for Identiv’s IoT business, while preserving financial upside potential for our stockholders through participation in Identiv’s go-forward strategy and ownership interest in Trackonomy.”
Kirsten Newquist, CEO of Identiv
“By acquiring Identiv’s IoT business assets, I believe Trackonomy can continue its growth and further enhance its position as a leading global provider of vertically integrated physical AI-based solutions across multiple industries.”
Dr. Erik Volkerink, Co-Founder and CEO of Trackonomy
