VeriChip had minimal revenues until ADSX completed two acquisitions earlier this year:
Effective March 31, 2005, Applied Digital acquired VCI and contributed VCI to us under the terms of an exchange agreement in consideration for 3.3 million shares of our common stock. VCI provides infant protection, wander prevention and asset location and identification systems primarily to the healthcare industry and offers asset location and identification systems to the industrial industry.
In June 2005, VCI acquired Instantel for approximately $22.3 million in cash, including $0.3 million in acquisition costs, and agreed to pay an additional $2.5 million to $3.0 million, upon completion of this offering, in some combination of cash, our common stock and Applied Digital’s common stock. The amount actually due is subject to reduction in the event of indemnification adjustment. Instantel provides infant protection and wander prevention systems to the healthcare industry and offers vibration monitoring systems to industrial customers.
Tommy Thompson is on the board of directors:
Mr. Thompson has served as a member of our board of directors since July 2005. Mr. Thompson is currently a partner at Akin Gump Strauss Hauer & Feld LLP and is a senior advisor to Deloitte & Touche LLP, serving as the independent chair of the Deloitte Center for Health Care Management and Transformation. He also has served as President of Logistics Health, Inc. since March 2005. He served as the Secretary of the U.S. Department of Health and Human Services from January 2001 to January 2005. He previously served as governor of Wisconsin from 1987 through 2001. He also serves on the board of directors of Centene Corporation, a multi-line managed care organization that provides Medicaid and Medicaid-related programs to organizations and individuals through government subsidized programs. He has been a director of C. R. Bard, Inc., a designer and seller of medical, surgical, diagnostic and patient care devices, since August 2005 and is a member of its science and technology committee and regulatory compliance committee. |
