Heska subsidiary acquires software assets for $2.75M

LOVELAND — Heska Imaging LLC, the subsidiary of Heska Corp. (Nasdaq: HSKA), reached an assets-acquisition agreement with Cuattro LLC.

The agreement is to purchase certain software and terminate the related license and supply agreements between Heska Imaging and Cuattro. The license agreements were originally part of Heska Corp.’s 2013 acquisition of a majority interest in Cuattro Veterinary USA LLC, which was a predecessor to Heska Imaging. The CEO and president of Heska Corp., Kevin Wilson, own a 100 percent interest in Cuattro. The aggregate purchase price of the software is $8.2 million, which consists of $2.75 million in cash and 54,763 shares of Heska’s common stock.

“We have received investor feedback advising it would be best for us to eliminate the related party obligations, expenses, balances, and reporting associated with Cuattro since 2013,” Scott Humphrey, Heska’s chair, said in a prepared statement. “The transactions address these concerns and are in the best interest of our stockholders. We believe the transactions will eliminate distractions and allow us to more strongly focus on our collective success in 2019 and beyond.”

The transaction is expected to close by the end of the year. The deal also requires Cuattro to assist Heska Imaging to implement data migration to a third-party image hosting platform.

LOVELAND — Heska Imaging LLC, the subsidiary of Heska Corp. (Nasdaq: HSKA), reached an assets-acquisition agreement with Cuattro LLC.

The agreement is to purchase certain software and terminate the related license and supply agreements between Heska Imaging and Cuattro. The license agreements were originally part of Heska Corp.’s 2013 acquisition of a majority interest in Cuattro Veterinary USA LLC, which was a predecessor to Heska Imaging. The CEO and president of Heska Corp., Kevin Wilson, own a 100 percent interest in Cuattro. The aggregate purchase price of the software is $8.2 million, which consists of $2.75 million in cash and 54,763 shares of Heska’s common stock.

“We have received investor feedback advising it would be best for us to eliminate the related party obligations, expenses, balances, and reporting associated with Cuattro since 2013,” Scott Humphrey, Heska’s chair, said in a prepared statement. “The transactions address these concerns and are in the best interest of our stockholders. We believe the transactions will eliminate distractions and allow us to more strongly focus on our collective success in 2019 and beyond.”

The transaction is expected to close by the end of the year. The deal also requires Cuattro to assist Heska Imaging to implement data migration to a third-party image hosting platform.