M&A - Nowigence Inc.

Form Type: 1-SA

Filing Date: 2025-05-12

Corporate Action: Acquisition

Type: Update

Accession Number: 000176191125000002

Filing Summary: Nowigence Inc. continues to evolve as a prominent player in the AI market after its acquisition of Stebr, Inc. on November 3, 2023. This merger positions Nowigence as an AI-as-a-Service (AIaaS) provider, enhancing its capabilities to develop customized AI applications for clients. The company's flagship product, ResearchWork.ai, is designed to assist researchers and R&D teams across various sectors by improving efficiency and reducing time-to-market for new offerings. For the six months ending June 30, 2024, Nowigence reported a significant revenue increase of over 2247%, totaling $482,615 compared to $20,565 in the same period for the previous year. The operating income surged to $133,625 from a loss of $188,785 a year prior. This financial turnaround is attributed to successful product developments and an effective strategy focusing on AI, with the company acknowledging its earlier challenges, including high operating losses and significant accumulated deficits. There are ongoing efforts to ensure compliance with ethical AI practices and address potential risks associated with privacy and data security. The company also indicated an intention for a commercial launch of new products in 2025, reflecting its growth ambitions in the rapidly expanding AI market, expected to see a CAGR of 37% through 2030.