Identiv to Sell its IoT Assets to Trackonomy

Identiv announced that it has entered into a definitive agreement to sell its IoT business operating assets and its Thai subsidiary to Trackonomy Systems, Inc., a pioneer in battery-powered smart labels and a global leader in Physical AI. 

This transaction represents a significant milestone in Identiv’s strategic evolution and positions the company for its next chapter of growth.

The two companies have also entered into a strategic partnership framework agreement to work toward a definitive agreement to collaborate on new software opportunities that leverage Trackonomy’s physical AI platform. 

Following the transaction close, Identiv’s strategy will focus on building a physical AI SaaS business synergistic with this platform, aiming to drive revenue growth and maximize long-term stockholder value.

Under the terms of the agreement, Identiv will sell its IoT assets, including its German R&D center and its Thai subsidiary, and will contribute $25 million in cash in exchange for $50 million in Trackonomy preferred equity. 

Identiv’s cash contribution is intended to support integration efforts and fund incremental capital expenditures, including the scale-up of high-volume opportunities.

The sale is expected to close in Q3 or early Q4 fiscal year 2026, subject to customary closing conditions, including Identiv stockholder approval at a meeting of stockholders to be scheduled. 

Identiv intends to remain a publicly listed company on the Nasdaq stock exchange under the ticker symbol “INVE”; however, the Identiv name and brand will be included in the sale of the IoT business operating assets, and the name of Identiv’s remaining public company will change after transaction close.

Overall, the transaction is expected to generate substantial synergies that Identiv believes will support its long-term strategic objectives and benefit its equity ownership in Trackonomy.

Following the sale of its IoT operations, Identiv will transition into a SaaS and physical AI-focused company. Leveraging its core expertise in RFID and BLE technologies, Identiv intends to acquire compliance SaaS companies in highly regulated industries at attractive valuations using a combination of cash and stock. 

Through the expected definitive strategic partnership, these acquired software assets will be integrated into Trackonomy’s physical AI data platform, enhancing the services with a physical AI data and infrastructure layer. 

This unique integration is intended to create immediate end-customer value and competitive differentiation, expand market reach, and contribute to revenue growth for Identiv’s acquired SaaS businesses.

“After conducting an extensive review of strategic alternatives, Identiv’s Board of Directors is pleased that the process has resulted in this unique value-creating transaction that will benefit our multiple stakeholders,” said James Ousley, Chairman of the Board of Identiv. “Our largest shareholder is supportive of this transaction and has entered into a voting agreement with the company and Trackonomy. The Identiv Board also unanimously supports this transaction and Identiv’s go-forward business strategy.”

“I am incredibly proud that Trackonomy recognizes our team’s achievements and specialized RFID and BLE capabilities. This transaction significantly transforms the company by streamlining and reducing execution risk for Identiv’s IoT business, while preserving financial upside potential for our stockholders through participation in Identiv’s go-forward strategy and ownership interest in Trackonomy,” said Kirsten Newquist, CEO of Identiv.