Datavault AI to Acquire CyberCatch for $94.5 Million, Bolstering Cybersecurity in AI Ecosystem

Datavault AI's acquisition of CyberCatch integrates AI-driven cybersecurity compliance into its GPU ecosystem, strengthening its data monetization and protection capabilities for regulated industries.

Phoenix Metrowire Staff
Business
Datavault AI to Acquire CyberCatch for $94.5 Million, Bolstering Cybersecurity in AI Ecosystem

Datavault AI Inc. (NASDAQ: DVLT) has announced a definitive agreement to acquire CyberCatch Holdings (TSX.V: CYBE) (OTCQB: CYBHF) in an all-cash transaction valued at $94.5 million, or $3.53 per share. The acquisition, which will be executed through a court-approved plan of arrangement, is poised to integrate CyberCatch’s patented, AI-enabled continuous cybersecurity compliance and risk mitigation platform into Datavault AI’s Quantum Private Network (“QPN”) GPU ecosystem. This strategic move is expected to enhance Datavault AI’s offerings by embedding robust cybersecurity measures across its suite of data solutions.

The acquisition comes at a time when cybersecurity threats are escalating, and regulatory compliance is becoming increasingly complex. CyberCatch’s platform leverages generative and agentic AI to continuously assess cybersecurity controls, conduct penetration testing, and measure cyber risk across a wide array of regulatory and security frameworks, including NIST CSF 2.0, NIST 800-171, CMMC 2.0, ISO 27001, HIPAA, and PCI DSS. By incorporating these capabilities, Datavault AI aims to provide a comprehensive solution that addresses both data monetization and protection, a critical need for industries such as healthcare, finance, and government contracting.

Following the closing, Datavault AI expects to deploy CyberCatch as the cybersecurity and continuous-compliance layer across its existing technology suite, including DataValue(R), DataScore(R), and Information Data Exchange(R) (“IDE(R)”). This integration will extend to its Acoustic Sciences technologies and deployments across regulated industries. The synergy between CyberCatch’s AI-driven security and Datavault AI’s data valuation and monetization platform is expected to create a unique value proposition: enabling organizations to securely leverage their data assets while ensuring compliance with stringent regulations.

The transaction is subject to customary board, stock exchange, regulatory, and shareholder approvals. CyberCatch is expected to operate as a Datavault AI subsidiary from San Diego, with founder, Chairman, and CEO Sai Huda serving as president of the subsidiary. This leadership continuity is likely to ensure a smooth transition and preserve the innovative momentum of CyberCatch’s technology.

For Datavault AI, this acquisition represents a significant expansion of its capabilities. The company, headquartered in Philadelphia, PA, is known for its AI-driven data experiences, valuation, and monetization of assets in the Web 3.0 environment. Its cloud-based platform provides comprehensive solutions with a collaborative focus in its Acoustic Sciences and Data Sciences divisions. The Acoustic Sciences division features WiSA(R), ADIO(R), and Sumerian(R) patented technologies, which are foundational to spatial and multichannel wireless, high-definition sound transmission. The Data Science division leverages high-performance computing to provide solutions for experiential data perception, valuation, and secure monetization.

The integration of CyberCatch’s cybersecurity platform is particularly relevant for Datavault AI’s Information Data Exchange(R), which enables Digital Twins and the licensing of name, image, and likeness by securely attaching physical real-world objects to immutable metadata. In an era where data integrity and security are paramount, this acquisition positions Datavault AI to foster responsible AI with integrity, ensuring that its clients can trust the security of their data transactions.

Industry analysts view this acquisition as a strategic response to the growing demand for comprehensive cybersecurity solutions that are both automated and AI-driven. By integrating CyberCatch’s platform into its GPU ecosystem, Datavault AI is not only enhancing its own security posture but also offering clients a seamless way to meet regulatory requirements without compromising on innovation. The deal is expected to close in the coming months, subject to approvals, and will mark a significant milestone in Datavault AI’s growth trajectory.

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