AI company Firefly Neuroscience has completed the acquisition of Evoke Neuroscience, a developer of technologies aimed at assessing brain health.
This strategic move is said to aid Firefly in setting up a foundation model of the human brain with its brain network analytics (BNA) technology.
The acquisition brings substantial assets to Firefly Neuroscience, including a database of more than 180,000 standardised records of electroencephalography (EEG)/ERP assessments.
Firefly noted that the acquisition has doubled its number of brain scans. Additionally, its patent portfolio has tripled to 27 granted patents, and its commercial reach has expanded over tenfold with more than 60 current commercial users.
The purchase agreement includes a $6m transaction, split evenly between cash and Firefly common stock priced at $3.50 per share.
Furthermore, Evoke's investors are eligible for a $500,000 earn-out to be paid in Firefly common stock, contingent upon the acquired business achieving a minimum of $3m in annualised revenues within the next three-year period.
Firefly Neuroscience CEO Greg Lipschitz said: “As our already unparalleled BNA database continues to grow with each new clinical study and/or clinical assessment in which our respective technologies are used, and armed with vital access to NVIDIA’s advanced software development resources, industry-leading frameworks and software development kits, we believe this acquisition of Evoke represents a key step toward Firefly fulfilling its goal of building the world’s first EEG /ERP-based foundation model of the human brain.”
Firefly develops solutions that enhance brain health outcomes for individuals with mental and neurological disorders.
With the launch of BNA for commercial use, Firefly is aiming at pharma companies involved in drug research and trials, as well as medical practitioners.
BNA is claimed to have been developed leveraging AI and machine learning on the company’s database of high-definition longitudinal EEGs and cognitive EEG (ERPs) from more than 17,000 individuals across twelve disorders and clinically normal individuals.
Last year, Zeto partnered with Firefly to distribute its FDA-cleared EEG headsets.
