Incubator start-up OmniVee has been acquired by US-based DVTel for $6 million. OmniVee was established in 2003 at Ofakim Innovative Technologies, a privatized incubator.
Since it was founded, $600,000 has been invested in OmniVee by the incubator, the Chief Scientist of the Ministry of Industry, Trade and Labor, and private investors.
The primary shareholders are company founders Ben Kidron and Eyal Eshed, who hold 50%, and the Ofakim incubator.
OmniVee develops and markets a platform that uses computer vision technology to enhance closed-circuit TV (CCTV) systems used in control, surveillance and security.
DVTel delivers integrated IP security solutions for CCTV surveillance and monitoring.
DVTel's chairman is Yaron Eitan, former founder, chairman and CEO of Geotek Communications; the president and CEO is Eli Gorovici, a former VP at NICE Systems (Nasdaq: NICE; TASE: NICE).
All members of OmniVee's staff will become DVTel's Israeli research and development team. The deal is subject to approval by the tax authorities.
Cooperation between the two companies began a few months ago, while they were working on a joint integration project and distribution agreement. The commonality between DVTel's products and OmniVee's innovative technology led to an offer to buy.
As part of the agreement, DVTel will include OmniVee's technology in its product range, and will invest in its continued development to bring the technology to market.
During the incubator period, OmniVee managed to complete product development, and begin worldwide marketing.
Published by Globes [online], Israel business news - www.globes.co.il - on Tuesday, June 14, 2005