The Long Beach, New York-based company was known as ID Global Solutions until new president and chief executive Philip Beck, along with new chief financial officer Stuart Stroller, joined at the end of January 2017.
Beck and Stroller reimagined the business as Ipsidy – a play on the Latin word “ipse,” which means self – and together with the original founder Tom Szoke and his team built a suite of new authentication products around its core of existing applications.
In December, Ipsidy won an international tender by Zimbabwe’s Electoral Commission to introduce its biometric fingerprint-matching voter registry system in the country’s general elections this summer, which it officially signed the contract for earlier this week.
For the 12 months ended December 31 2017, revenue totalled US$2.3mln, versus US$1.9mln a year earlier.
Adjusted underlying losses (EBITDA) widened to US$5.7mln (US$4.3mln), reflecting the increased investment in infrastructure, technology and personnel.
Cleaning up the balance sheet
One of the key objectives for Beck and his team when they first arrived was to clean up Ipsidy’s balance sheet.
The company converted US$6.3mln of existing debt and accrued interest into equity, while it repaid US$0.3mln of additional debts and cancelled 3.6mln warrants and 2.5mln shares.
As well as cleaning up the balance sheet, Beck and co. also managed to beef it up, securing US$9mln of additional equity and US$3mln of debt financing.
‘Exciting year of progress’ ahead
“2017 was a year of transformational change. The company was recapitalised, management was reorganized and the Ipsidy team strengthened,” said CEO Beck.
“We continue to enhance our identity transaction platform, in order to create trusted transactions to approve everyday events.
“Our platform enables customers to choose the levels of friction and assurance that are appropriate to their business. We are looking forward to an exciting year of progress.”