After posting an impressive second quarter financial earnings, the cannabis-tech company Namaste Technologies (NXTTF) has started makings moves in the world of artificial intelligence.
Today the company announced that they have executed a definitive agreement to acquire Findify AB, a Swedish corporation on the forefront of A.I. powered e-commerce personalization, delivering solutions such as personalized search, recommendations, and advanced data analytics.
Findify’s platform uses real-time machine learning algorithms to create profiles for a more personalized user experience. Constantly learning, the platform analyzes users behavior and uses that information to rank search results, product recommendations, and relevant pages in such as way to optimize conversion rates and revenue.
“I am super excited for the talented team of Findify to join Namaste,” commented Namste Director, Lauren Feenstra. “Their leading machine learning models have already made Namaste much better at recommending the right products to our customers. And, even more importantly, we are thrilled to apply their deep A.I. expertise to cannabis. There are approximately 800 identified strains of cannabis each with hundreds of active ingredients, meaning each plant works differently for each person. Understanding which plant works for whom will be key in helping cannabis benefit everyone.”
Under the agreement, Namaste will purchases all issued and outstanding shares of Findify for $2 million USD in cash upfront and $10 million USD to be paid in common shares of Namaste at a price of $1.80 CAD per common share. Key employees from Findify will remain with the company once the acquisition is complete.
The company will allocate resources to expand on Findify’s existing platform, which they believe will drive revenue growth and increase EBITDA by the end of 2019. Additionally, the company will implement the Findify’s technology to help increase the number of medical cannabis patients through its wholly owned subsidiary, NamasteMD Inc.
Namaste Technologies’ stock is currently holding at $1.25 USD per share, down from its 52-week high of $3.47, but above the year’s low of 13 cents.