FiscalNote Announces Sale Of Aicel Technologies, Inc. For $9.65 Million In Total Consideration
FiscalNote (NYSE: NOTE) announced the sale of its South Korean subsidiary, Aicel Technologies, for $9.65 million, comprising $8.5 million in cash and $1.15 million in assumed convertible note. Aicel, acquired in July 2022 for approximately 800,000 shares, represented 1.6% ($2.0 million) of FiscalNote's GAAP revenue over the past 12 months through June 2024. The divestiture aims to deleverage the balance sheet, reduce business complexity, and improve operating efficiency by focusing on core operations. The company will use net cash proceeds to prepay senior debt and continues to evaluate additional divestiture opportunities.
FiscalNote (NYSE: NOTE) ha annunciato la vendita della sua sussidiaria sudcoreana, Aicel Technologies, per 9,65 milioni di dollari, di cui 8,5 milioni in contante e 1,15 milioni in nota convertibile assunta. Aicel, acquisita nel luglio 2022 per circa 800.000 azioni, ha rappresentato l'1,6% (2,0 milioni di dollari) dei ricavi GAAP di FiscalNote negli ultimi 12 mesi fino a giugno 2024. Questo disinvestimento mira a ridurre l'indebitamento, semplificare la struttura aziendale e migliorare l'efficienza operativa concentrandosi sulle operazioni principali. L'azienda utilizzerà il ricavato netto per rimborsare il debito senior e continua a valutare ulteriori opportunità di disinvestimento.
FiscalNote (NYSE: NOTE) anunció la venta de su filial surcoreana, Aicel Technologies, por 9,65 millones de dólares, que incluye 8,5 millones en efectivo y 1,15 millones en una nota convertible asumida. Aicel, adquirida en julio de 2022 por aproximadamente 800,000 acciones, representó el 1.6% (2.0 millones de dólares) de los ingresos GAAP de FiscalNote durante los últimos 12 meses hasta junio de 2024. La desinversión tiene como objetivo reducir el apalancamiento, simplificar la complejidad empresarial y mejorar la eficiencia operativa al enfocarse en las operaciones centrales. La empresa utilizará los ingresos netos para prepagar deudas senior y continúa evaluando oportunidades adicionales de desinversión.
FiscalNote (NYSE: NOTE)는 자회사인 Aicel Technologies를 965만 달러에 매각한다고 발표했습니다. 이 금액은 현금으로 850만 달러, 인수한 전환사채로 115만 달러를 포함합니다. 2022년 7월 약 80만 주에 인수된 Aicel은 2024년 6월까지의 12개월 동안 FiscalNote의 GAAP 수익의 1.6%(200만 달러)를 차지했습니다. 이번 매각은 재무 레버리지를 줄이고 비즈니스 복잡성을 감소시키며 핵심 운영에 집중하여 운영 효율성을 개선하기 위한 것입니다. 회사는 순수익을 사용하여 고위험 부채를 조기 상환하고 추가적인 매각 기회를 평가하고 있습니다.
FiscalNote (NYSE: NOTE) a annoncé la vente de sa filiale sud-coréenne, Aicel Technologies, pour 9,65 millions de dollars, dont 8,5 millions en espèces et 1,15 million en obligation convertible prise en charge. Aicel, acquise en juillet 2022 pour environ 800 000 actions, représentait 1,6 % (2,0 millions de dollars) des revenus GAAP de FiscalNote au cours des 12 derniers mois jusqu'en juin 2024. Cette cession vise à réduire l'endettement, simplifier la complexité de l'entreprise et améliorer l'efficacité opérationnelle en se concentrant sur les opérations clés. L'entreprise utilisera le produit net pour rembourser sa dette senior et continue d'évaluer d'autres opportunités de cession.
FiscalNote (NYSE: NOTE) gab den Verkauf seiner südkoreanischen Tochtergesellschaft, Aicel Technologies, für 9,65 Millionen Dollar bekannt, bestehend aus 8,5 Millionen Dollar in bar und 1,15 Millionen Dollar in übernommener Wandelanleihe. Aicel, die im Juli 2022 für etwa 800.000 Aktien erworben wurde, machte 1,6% (2,0 Millionen Dollar) der GAAP-Umsätze von FiscalNote in den letzten 12 Monaten bis Juni 2024 aus. Die Veräußerung zielt darauf ab, die Bilanz zu entlasten, die Unternehmenskomplexität zu verringern und die Betriebseffizienz durch Konzentration auf die Kernoperationen zu verbessern. Das Unternehmen wird die Nettoliquidität nutzen, um vorrangige Schulden vorzeitig zu tilgen und bewertet weiterhin zusätzliche Veräußnungsmöglichkeiten.
- Sale of non-core asset for $9.65 million total consideration
- Deleveraging balance sheet through prepayment of senior debt
- Streamlining operations by divesting unit that represented only 1.6% of revenue
- Potential loss on investment as Aicel was acquired just 2 years ago
- Reduction in total revenue stream by $2.0 million annually
Insights
The
The immediate use of proceeds for senior debt reduction demonstrates prudent capital management. This divestiture, following the Board.org sale, reflects an ongoing strategic realignment focused on core business optimization and balance sheet improvement. The minimal revenue impact coupled with operational simplification potential suggests this move could positively influence operating margins and overall financial efficiency.
Divestiture of Non-Core Asset Further Deleverages Balance Sheet with Gross Cash Consideration
Simplification Facilitates Further Operating Efficiencies and Overall Profitability by Focusing and Driving Annual Recurring Revenue Through Core Business
Board of Directors Continues to Review All Strategic Options Available to the Company to Maximize Shareholder Value
Total consideration for the transaction is
FiscalNote acquired Aicel in July 2022 using approximately 800,000 shares of its common stock in an all stock transaction. Aicel represents approximately
FiscalNote further deleverages its balance sheet through the prepayment of senior debt using the net cash proceeds from the divestiture of Aicel. The transaction also continues the Company’s strategy of divesting non-core assets to unlock underlying value, reduce business complexity, and drive improved enterprise operating efficiency.
Aicel is an alternative data company based in
“This transaction continues what we started with the Board.org divestiture earlier this year. Today’s action enhances our financial flexibility through further deleveraging of our balance sheet and allows us to focus our resources on our core markets and on offerings where we see the greatest potential for long-term annual recurring revenue growth and shareholder value creation,” said Tim Hwang, Chairman, CEO and Co-Founder of FiscalNote.
“As part of our long-term strategy, we will continue to assess additional divestiture opportunities that unlock and realize value for shareholders, result in further improvements to our capital structure, enable us to focus on our core business and drive further operating efficiencies,” Hwang said.
About FiscalNote
FiscalNote (NYSE: NOTE) is a leader in policy and global intelligence. By uniquely combining data, technology, and insights, FiscalNote empowers customers to manage political and business risk. Since 2013, FiscalNote has pioneered technology that delivers critical insights and the tools to turn them into action. Home to CQ, Dragonfly, Oxford Analytica, VoterVoice, and many other industry-leading brands, FiscalNote serves thousands of customers worldwide with global offices in
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Nicholas Graham
FiscalNote
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Investor Relations
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FiscalNote
IR@fiscalnote.com
Source: FiscalNote
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