Benzinga | Sep 13, 2021 09:57AM EDT

Phunware To Acquire Lyte Technology To Drive Blockchain Ambitions

* Enterprise cloud provider Phunware Inc (NASDAQ:PHUN) agreed to acquire Lyte Technology for up to a $10.32 million purchase price in cash and stock, with $3.32 million cash at closing and the remaining $7 million in earn-out.

* Lyte Technology specializes in marketing and distributing custom, high-end computer systems off-the-shelf with advanced graphic processing units for gaming, streaming, and cryptocurrency mining.

* The acquisition will help efficiently bridge the gap between external data on the existing web and blockchain-based applications on mobile, Phunware CEO Alan S. Knitowski said.

* The acquisition is likely to close within the next 30 to 45 days.

* Currently located in Illinois, Lyte Technology employs over 25 people. Lyte Technology's operations will relocate to Austin, Texas, upon closing of the deal.

* Phunware held $2.8 million in cash and equivalents as of June 30.

* Price Action: PHUN shares traded lower by 0.79% at $1.0318 on the last check Monday.