Qoria boss to head expanded online safety group after $1 billion US merger
The companies say the scrip tie-up will create a bigger world player in online safety for kids and schools.
Qoria founder and chief executive Tim Levy will lead an expanded world leader in online safety for children and schools after the WA’s group’s near $1 billion merger with US group Aura Consolidated.
The tie-up was confirmed late on Monday, with Qoria’s board unanimously approving Aura’s takeover of the Australian company through a scrip takeover that is said to value Qoria at 72¢ a share.
The combination, they said, would “establish a world-leading safety and online security platform for home, work, and school, unlocking cross-market cross-sell potential and innovation scale”.
Sign up to The Nightly's newsletters.
Get the first look at the digital newspaper, curated daily stories and breaking headlines delivered to your inbox.
By continuing you agree to our Terms and Privacy Policy.Mr Levy, who co-founded Qoria as Family Zone in 2015, will head the combined management team, with the merged group to remain listed on the Australian Securities Exchange.
The offer provides for Qoria’s shareholders to receive one of Aura’s chess depository interests for every 17.2 shares in Qoria.
Also, Aura will simultaneously raise $US75m in new equity at a price, it says, will value the stock swap at 72¢ a Qoria share - more than double Qoria’s closing price of 33.5¢ on Friday.
“The Internet was created to connect us, yet online safety has eroded, making trust paramount for parents, guardians and organisations, in general, for the protection of our activities online,” Mr Levy said.
“The combination of Aura and Qoria pioneers a lifelong digital safety ecosystem; a new category that meets the urgent need for technology, education, and trust to protect people, he said.
Qoria listed on the ASX in 2016 and expanded into North America a year later.
Its software, which allows parents and schools to limit screen time, track smart devices and block adult conduct, is generating nearly $150m of recurring revenue a year, according to December quarterly numbers disclosed last month.
Aura’s product offering is broader, covering subscription-based solutions provide all-in-one protection from identity theft, scams, and online threats, alongside tools that help parents protect children frompredators, cyberbullying, and technology-driven mental health risks.
Qoria collected a record $33.8 million in receipts for the three-month period.
Some 32,000 schools and nine million parents in 100 countries now use its platforms, with the US and the UK major markets.
Its founders and management hold about 3.8 per cent of the company, with Mr Levy last listed with 18.1 million shares and about nine million options.
