Benzinga | Feb 9, 2021 07:19AM EST

Applied UV Shares Up ~59%, Co. Earlier Announced Closing On Acquisition Of Akida Holdings For 1.375M shares And $901,274.96 In Cash

* Developed with NASA as a patented pathogen killing technology

* Proprietary photocatalytic oxidation process thoroughly destroys viruses, bacteria, spores, and fungi as well as other carbon-based molecules

* Airocide(r) air disinfection technology compliments and expands the SteriLumen platform, together providing a more comprehensive solution for air and surface

* Accelerates the strategy to grow revenues through complimentary acquisitions

* Enhances scale in the fast-growing disinfection device market

* Applied UV to host investor call at 9:00am ET on February 9, 2021

MOUNT VERNON, NY / ACCESSWIRE / February 9, 2021 / Applied UV, Inc. (NASDAQ:AUVI) ("Applied UV" or the "Company"), an infection control technology company that applies the power of narrow-range ultraviolet light ("UVC") to destroy pathogens safely, thoroughly, and automatically, announced it has closed on the acquisition by its wholly-owned subsidiary, SteriLumen, Inc. ("SteriLumen"), of substantially all of the assets of Akida Holdings LLC, ("Akida"), including all of the rights to manufacture and sell the Airocide(r) System of patented, air disinfection and purification technologies, for 1.375 million common shares of Applied UV stock and $901,274.96 in cash. Neither SteriLumen nor Applied UV will assume any long-term debt or non-operating liabilities of Akida. Airocide(r) products have seen broad adoption across all major markets including resorts and hotels, hospitals and nursing homes, food distribution and wine making commercial buildings, and retail sectors. Akida's revenue for the full calendar year 2020 is estimated to be $4.7 million with EBITDA of approximately $921,000. The agreement has been unanimously approved by the Boards of Directors of both companies.

"The last year demonstrated more than ever the importance of innovative and comprehensive infection control solutions that protect healthcare providers, patients, and the general public. Since establishing a distribution agreement with Airocide(r) last year, our appreciation has only grown for its capabilities; they represent a natural complement and extension to Applied UV's product and service offerings, global reach, and customers," said Q Saeed, CEO of Applied UV. "Our companies share a similar focus on infection control across a range of healthcare, hospitality, and commercial customers. Combined, we will offer a broader set of customers a more diversified selection of infection control products and services. We welcome the people of Airocide(r) to the Applied UV team and firmly believe that together, we will create greater value for our customers and shareholders."

Keith Frein, President of Akida, commented, "We are pleased to reach this agreement with SteriLumen and Applied UV. We believe the value opportunity is compelling, both today and in a post-COVID world, as the combined company will have the scale, breadth, and depth to unlock substantial value that will drive further benefits for shareholders, customers, and all stakeholders. We look forward to working collaboratively to bring our two organizations together."

The Airocide(r) system, originally developed for NASA by the University of Wisconsin, is a medical-grade, airborne pathogen killing technology that uses a patented combination of UVC and a proprietary titanium dioxide based photocatalyst. The Airocide(r) system is clinically proven and field tested to kill/remove/eliminate airborne pathogenic and non-pathogenic microorganisms, allergens, odors, and harmful organic compounds in a variety of applications and industries including healthcare, hospitality, grocery chains, wine making facilities, commercial real estate, schools, dental offices, cannabis, and homes. Airocide(r) has been featured on CNN, Fox News Networks, Maxim and The Ellen Show. The Airocide technology is widely accepted and currently used by nationally recognized brands such as Hard Rock Caf?, the US Army, Stag's Leap vineyards and many more.

Airocide(r) Product Portfolio

Airocide(r) Strategic and Financial Benefits

This transaction brings together Applied UV's and Airocide's product franchises to create a stronger global business serving a broader set of customers.

* Enhances scale in the fast-growing disinfection device market.

* The SteriLumen & Airocide(r) brands bring cost effective and fully automated disinfection platforms with broad applicability.

* Disinfection for both Surface and Air: Extensive product offering provides more complete solution to meet customer needs.

* Airocide(r) platform brings additional scientific validation and technological advancement.

* Importance of disinfection and indoor air quality expected to remain after COVID-19 supporting market growth.

Applied UV Strategic and Financial Benefits to Airocide(r)

* Greater access to capital to respond to market demand and grow revenue.

* Increased manufacturing capacity to accelerate throughput and shorten the cycle from ordering to delivery of Airocide(r) units.

* Enhanced access to leasing and/or financing assistance to customers.

* Enhanced sales and marketing activities from SteriLumen personnel who, in conjunction with the network of the Applied UV Board, have expansive resources to help drive adoption in industry sectors new to Airocide(r)

Transaction Details

* Asset purchase of the Airocide(r) technology, product line and associated intellectual property and know how

* Total consideration paid to Akida in a combination of cash and stock: $901,274.96 in cash and 1.375M shares

Conference Call/Webcast Information

Applied UV's management team will host an investor conference call and live webcast on February 9, 2021 beginning at 9:00am ET.

Investors can access the webcast via the following link https://www.webcaster4.com/Webcast/Page/2626/39959