Gray Matters Data Corp acquired Gray Matters, Inc. from WaveDancer, Inc. for $2.3 million.
March 20, 2023
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Gray Matters Data Corp ("GMDC") acquired Gray Matters, Inc. from WaveDancer, Inc. (NasdaqCM:WAVD) on March 17, 2023. In exchange for this sale, WaveDancer received shares of common stock of GMDC representing on a primary share basis, assuming the conversion of the Series A preferred referenced below, approximately a 24.9% interest in GMDC after completion of its initial anticipated fund raising, cash consideration of $935,974 and contingent annual payments equal to five percent of the purchaser?s GAAP based revenue through December 31, 2029 attributable to the purchaser?s blockchain-enabled digital supply chain management platform and associated technologies.
Gray Matters Data Corp completed the acquisition of Gray Matters, Inc. from WaveDancer, Inc. (NasdaqCM:WAVD) for $2.3 million on March 17, 2023. The total consideration includes $935,974 at closing, $133,148 cash after closing, GMDC common stock based on Series A preferred stock amounting to $581,000 and contingent payments of $682,000. On March 17, 2023, WaveDancer sold effectively 75.1% of the equity and As on August 9, 2023, WaveDancer, Inc and GMDC closed as a rollover stock purchase agreement and an amendment agreement to the Stock Purchase agreement dated March 17, 2023, Pursuant to which the remaining 24.9% equity was sold as per equity investment method and various ongoing rights and obligations of the WaveDancer and GMDC established in the Agreement and ancillary agreements entered into in connection with the Agreement were terminated in exchange for the payment of $1,000,000 cash and WaveDancer's 24.9% stake in GMDC was sold to GMDC's investors in exchange for cash of $400,000.
WaveDancer, Inc. is engaged in developing and maintaining information technology (IT) systems, modernizing client information systems, and performing other IT-related professional services to government and commercial organizations. The Company is focused on enterprise IT solutions primarily relating to system modernization, cloud-based solutions and cybersecurity protection. The Company primarily applies its technology and services to legacy software migration and modernization, developing Web-based and mobile device solutions, including dynamic electronic forms development and conversion and data analytics. Its subsidiary is Tellenger, Inc.