Security and surveillance tech company, Hills Ltd (ASX: HIL), has announced a proposed merger between its business, called Hills Health Solutions, with US-based, Lincor Inc.
Under the terms of the merger, Hills and Lincor Inc will demerge assets, and a new company will be created – called Lincor Limited. The new company will be listed on the ASX. After the listing, Hills’ shareholders will own around half of the new company, whereas the remaining half will be owned by Lincor Inc’s shareholders.
Hills’ vision is for Lincor Limited to be a leading provider of patient engagement technology solutions, with strong recurring revenues and a growing Software as a Service platform.
Yesterday afternoon, shares in Hills surged 52.86% higher at 54 cents.
Hills reported a net loss of $68 million at 30 June 2016.
