Sunday 19 April 2015

Decawave eyes €250m value with 'lost and found' chip

Published 25/05/2014 | 02:30

Dermot Desmond
Dermot Desmond

Red-HOT Irish chip maker Decawave is banking on a new "lost and found" product to push its value to at least €250m when it goes public in 2017.

Decawave has been funded by Dermot Desmond's IIU, Kernel capital and Enterprise Ireland. Former Intel boss Jim O'Hara chairs the fast-growing enterprise.

The company, whose core product is a microchip that can be traced to within an accuracy of 10cm, even indoors, will soon move into consumer-focused activities in an effort to massively ramp up revenues in advance of the flotation.

It will seek a final pre-IPO investment round of "double digit millions" to triple its staff of 42 and enable the expansion.

The company has already raised €25m since its founding in 2007, most of it from US and Irish angel investors.

Decawave currently sells under a business-to-business model, having only begun production last year.

It works with a New Hampshire, US-based company which uses its chips to tag newborn babies in hospitals, preventing kidnappings.

It also recently signed a deal with a major European car manufacturer which uses its chips to improve vehicle security; in two to three years its cars will only open when the owner's key is physically nearby, preventing theft using copycat keys. But the company is now planning to launch a consumer-focused "lost and found" product. This would allow people to "tag" belongings like passports and then use their smartphones to locate the device within their home within a 10cm accuracy.

"We need a consumer play before attempting an IPO," chief executive Ciaran Connell told the Sunday Independent, adding that the company would not go public if it couldn't raise a minimum of €250m.

The company will seek a dual listing on the Irish Stock Exchange and the NASDAQ, the most popular index for small and medium technology companies.

Sunday Indo Business

Read More

Promoted articles

Editors Choice

Also in Business