Voxx May Sell EyeLock Amid COVID-19
Voxx hired a banker to help evaluate “strategic alternatives” for EyeLock, its iris-authentication subsidiary, said Voxx CEO Pat Lavelle on a fiscal Q4 call Tuesday. “This could be a spinoff, a financing partner, a joint venture or an outright sale.”…
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The segment never was profitable and generated sales of $100,000 for the year. COVID-19 has created much “inbound interest” in EyeLock, said Lavelle. “With everyone wearing masks and gloves, iris is quickly becoming the preferred choice for authentication.” The result is “renewed interest in EyeLock’s technology and in the company,” he said. The competitive facial-recognition technology, he said, is facing “additional backlash, given the events of recent weeks” (see 2006110059). It’s “challenging to forecast” the consumer tech business during normal times, and with COVID-19 “that remains even more so,” Lavelle said. The company is “anticipating a slow start” to fiscal 2021, expecting growth to recover in the year’s second half, he said. Q4 ended Feb. 29.