WISeKey (WKEY) Stock: Why It Increased Over 3%

By Amit Chowdhry ● Jun 28, 2022
  • The stock price of WISeKey International Holding AG (NASDAQ: WKEY) increased by over 3% during intraday trading today. This is why.

The stock price of WISeKey International Holding AG (NASDAQ: WKEY) increased by over 3% during intraday trading today. Investors are responding positively to WISeKey announcing today that it has transferred its 51% controlling interest in arago GmbH (arago) to OGARA GmbH (OGARA).

As previously announced on April 25, 2022, WISeKey had signed a Share Purchase and Transfer Agreement to sell its 51% stake in arago to a German consortium of investors led by arago’s founder through his investment company, OGARA.

The transfer of the shares gives OGARA full control of arago’s operations into the acquiring consortium, and establish the framework of the partnership between WISeKey and arago to work together on the increasing adoption of AI and IoT convergence as one of the primary factors driving the growth of the IoT market.

WISeKey’s management – in consultation with its board of directors – considered a number of factors, including the already implemented separation of its operations from those of arago, before effecting the transfer. The transfer does not affect WISeKey‘s right to the purchase price, the payment of which is expected in Q3 2022. And the transfer will allow WISeKey to move ahead with its strategic vision of refocusing on the core business.

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.