MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Knightscope, Inc., developer of advanced physical security technologies focused on significantly enhancing US security operations, announced today that it has executed a commitment letter for a $3 million strategic investment from Konica Minolta, Inc. [TYO: 4902]. Konica Minolta has invested $1 million immediately and has committed to invest an additional $2 million upon achievement of certain milestones. This commitment is in addition to the prior investment made in 2014. The capital is to be invested in Knightscope’s current Reg A+ “mini-IPO” offering of Series m Preferred Stock. Further terms were not disclosed.
The initial relationship was established between the parties by Konica Minolta’s Business Innovation Center (BIC) which is driven by “Giving Shape to Ideas.” The original proposition of leveraging Konica Minolta’s service technicians in the U.S. to provide the support infrastructure for Knightscope’s growth was envisioned and architected in 2015, piloted in 2016 and successfully operationalized in 2017. “Knightscope has demonstrated tremendous growth on the cutting edge of the security industry. Their autonomous capabilities and crime-deterring technology helps further the robotics and AI sector, a key focus area for the Konica Minolta Business Innovation Center,” said Ekta Sahasi, vice president of the U.S. Business Innovation Center.
Concurrent with the investment, the parties also executed a 3-year service agreement to build on their existing operating relationship. While the majority of all repairs and patches to Knightscope machines may be successfully completed over-the-air 24/7, the agreement enables the Company to call on Konica Minolta at times when a service technician is required to be on premise. Knightscope and Konica Minolta have been operating together using this model throughout California, Texas and Massachusetts. “This is our year to begin scaling operations, and we are in process of adding Florida, New York and Washington D.C. with a sales pipeline that continues to strengthen every week. The team members at Konica Minolta have been true professionals and, in a number of cases, have gone beyond the call of duty to support Knightscope and our clients. We are proud of our partnership as we drive to our ambitious goal of cutting the $1 trillion annual negative economic impact of crime on the U.S. literally in half. That would have a material and positive impact on everything and everyone,” said William Santana Li, chairman and chief executive officer, Knightscope, Inc.
Investors interested in purchasing preferred stock in Knightscope’s Reg A+ “mini-IPO” offering may now do so online at SeedInvest: www.seedinvest.com/knightscope
About Knightscope, Inc.
Knightscope, Inc. is an advanced security technology company that utilizes Software + Hardware + Humans to provide its clients with new groundbreaking anomaly detection capabilities. In an increasingly volatile world, we are developing one of the most important technologies to come out of Silicon Valley that will empower the public and private sectors to proactively build stronger, safer communities, ultimately saving money and lives. Crime has a $1 trillion negative economic impact on the U.S. every single year and our long-term mission is to cut it in half. Learn more at www.knightscope.com
About Konica Minolta
Konica Minolta is a global technology provider engaged in the development, manufacturing and sale of multi-functional peripherals (MFPs), printers, equipment for production print systems and graphic arts, equipment for healthcare systems, measuring instruments for industrial and healthcare applications, inkjet print heads and textile printers for industrial use, and related consumables and solution services. The company is also engaged in the development, manufacturing and sale of electronic materials, lighting source panels, functional films and optical products. Konica Minolta has over 41,000 employees and operates in 150 countries. For more information, go to www.konicaminolta.com
An offering statement regarding this offering has been filed with the SEC. The SEC has qualified that offering statement, which only means that Knightscope may make sales of the securities described by that offering statement. It does not mean that the SEC has approved, passed upon the merits or passed upon the accuracy or completeness of the information in the offering statement. You may obtain a copy of the offering circular that is part of that offering statement here. You should read the offering circular before making any investment.
This release may contain forward-looking statements regarding projected business performance, operating results, financial condition and other aspects of the company, expressed by such language as “expected,” “anticipated,” “projected” and “forecasted.” Please be advised that such statements are estimates only and there is no assurance that the results stated or implied by forward-looking statements will actually be realized by the company. Forward-looking statements may be based on management assumptions that prove to be wrong. The Company and its business are subject to substantial risks and potential events beyond its control that would cause material differences between predicted results and actual results, including the company incurring operating losses and experiencing unexpected material adverse events.