thedocyard expands document encryption service via LockBox acquisition

Since listing on the ASX in February 2020, tech company thedocyard (ASX: TDY) is set to expand its cloud-based transaction management platform with the acquisition of Lockbox Technologies and its cybersecurity solutions.

The key Lockbox products which will transition into thedocyard comprise of LockBox Storage – a a B2B secured document and storage platform, and Athena Board – a document creation and consumption solution for corporate Boards which improves governance and transparency.

“We are very excited to see the LockBox team and their leading board governance solution join thedocyard’s stable of technologies which make corporate events, such as transactions and board meetings safer, easier and more efficient” said thedocyard CEO, Stuart Clout.

“There is a clear adjacency in the solution set and customer base and this acquisition is highly consistent with our growth strategies and global view of the greater problem set.”

The acquisitions will be funded by issuing $2m in new TDY shares to LockBox’s owners which represents 9.02% of the Company, as well as Options to secure 15,000,000 TDY shares based on the 10-day VWAP at the date of sale execution.

By integrating LockBox’s platforms, it secures an entry point for the thedocyard into the enterprise file sync and sharing market which they say was valued at USD $10.9 billion in 2018 and projected to reach $35.58bn by 2023 alongside the increasing shift towards digital business solutions, expedited by COVID-19 working arrangements.

The integration is expected to secure further opportunities for both thedocyard and LockBox to cross-sell clients between their two platforms.

In the 10 months to 30 June 2020, LockBox reported revenues of $186k with a net loss of $862k, but it is expected that the business will appreciate shared sales and support from thedocyard.

LockBox was founded by Steven Engel, who previously developed internal security applications for Westpac and spent five years in R&D at Apple. He will join thedockyard’s senior management team.

thedocyard listed on the ASX in February 2020 with a market cap of $26m after raising $5m from their IPO at an offer price of $0.20 per share.