HARRISON, N.Y., May 9, 2016 /PRNewswire/ -- MGT
Capital Investments, Inc. (NYSE MKT: MGT) announced today that it
has entered into a definitive asset purchase agreement to acquire
certain technology and assets from D-Vasive Inc., a provider of
leading edge anti-spy software. D-Vasive offers a powerful
tool for protection from the proliferation of invasive apps by
consumer products companies, social networks, financial
institutions and others. These invasive apps can secretly turn on a
phone's microphone and camera, as well as monitor geographic
movements and access contacts. The D-Vasive technology operates in
a unique way, allowing the user to manage and control the device's
internal hardware. D-Vasive will be available shortly for Android
and Windows platforms, followed by a release for Apple iOS.
In conjunction with the acquisition, MGT is pleased to announce
the proposed appointment of John
McAfee as Executive Chairman and Chief Executive
Officer. Mr. McAfee, the visionary pioneer of internet
security, sold his anti-virus company to Intel for $7.6 billion, and is actively involved in the
development of new measures to protect individual freedoms and
privacy. Mr. McAfee stated, "The enormous impact of
cybersecurity on our lives requires the scale and resources of a
public company. Our ability to continue to hire the best
minds in the business will be vastly enhanced with a public
platform. With the acquisition of D-Vasive technology as a
starting point, we expect to grow MGT into a successful and major
force in the space." MGT Capital also intends to change its
corporate name to John McAfee Global Technologies, Inc.
Additionally, MGT has entered into a consulting agreement with
Future Tense Secure Systems Inc., a technology incubator with
investments in other applications requiring privacy, such as file
sharing and chat. It is contemplated by the parties that
future collaborations or investments may occur going forward.
Closing of the acquisition is contingent on customary conditions
including approval by MGT's stockholders. Major terms of the
deal include the payment to D-Vasive Inc. stockholders of 23.8
million restricted shares of MGT stock and $300,000 in cash. The proposed share issuance is
expected to amount to roughly 47% of the Company on a pro-forma
fully diluted basis at closing. More detailed information can be
found in the Company's Form 8-K filed this morning with the
Securities and Exchange Commission, available at www.sec.gov, or
the MGT website at www.mgtci.com.
About MGT Capital Investments, Inc.
MGT and its subsidiaries are principally engaged in the business
of acquiring, developing and monetizing intellectual property
assets. MGT's portfolio currently includes social casino and gaming
platforms, and ownership stakes in DraftDay.com, a top daily
fantasy sports wagering platform and DraftDay Fantasy Sports, Inc.
operator of an online entertainment marketing and rewards
platform.
Forward–looking Statements
This press release contains forward–looking statements. The
words or phrases "would be," "will allow," "intends to," "will
likely result," "are expected to," "will continue," "is
anticipated," "estimate," "project," or similar expressions are
intended to identify "forward–looking statements." MGT's financial
and operational results reflected above should not be construed by
any means as representative of the current or future value of its
common stock. All information set forth in this news release,
except historical and factual information, represents
forward–looking statements. This includes all statements about the
Company's plans, beliefs, estimates and expectations. These
statements are based on current estimates and projections, which
involve certain risks and uncertainties that could cause actual
results to differ materially from those in the forward–looking
statements. These risks and uncertainties include issues related
to: rapidly changing technology and evolving standards in the
industries in which the Company and its subsidiaries operate; the
ability to obtain sufficient funding to continue operations,
maintain adequate cash flow, profitably exploit new business,
license and sign new agreements; the unpredictable nature of
consumer preferences; and other factors set forth in the Company's
most recently filed annual report and registration statement.
Readers are cautioned not to place undue reliance on these
forward–looking statements, which reflect management's analysis
only as of the date hereof. The Company undertakes no obligation to
publicly revise these forward–looking statements to reflect events
or circumstances that arise after the date hereof. Readers should
carefully review the risks and uncertainties described in other
documents that the Company files from time to time with the U.S.
Securities and Exchange Commission.
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SOURCE MGT Capital Investments, Inc.