Forward Industries to be Acquired by HIG Capital Affiliate
Ticker: FWDI · Form: 8-K · Filed: Dec 23, 2024 · CIK: 38264
Sentiment: neutral
Topics: acquisition, going-private, private-equity
TL;DR
Forward Industries is going private, acquired by HIG Capital.
AI Summary
Forward Industries, Inc. announced on December 9, 2024, that it has entered into a definitive agreement to be acquired by an affiliate of HIG Capital. The transaction is expected to close in the first quarter of 2025, subject to customary closing conditions. This acquisition will result in Forward Industries becoming a privately held company.
Why It Matters
This acquisition marks a significant change in ownership for Forward Industries, transitioning it from a publicly traded entity to a private one under HIG Capital's control.
Risk Assessment
Risk Level: medium — The acquisition is subject to closing conditions, and there's always a risk of deals falling through or terms changing before completion.
Key Players & Entities
- Forward Industries, Inc. (company) — Company being acquired
- HIG Capital (company) — Acquiring entity's affiliate
- December 9, 2024 (date) — Date of definitive agreement
- first quarter of 2025 (date) — Expected closing period
FAQ
What is the nature of the agreement Forward Industries entered into?
Forward Industries entered into a definitive agreement to be acquired by an affiliate of HIG Capital.
Who is acquiring Forward Industries?
An affiliate of HIG Capital is acquiring Forward Industries.
When is the acquisition expected to close?
The acquisition is expected to close in the first quarter of 2025.
What conditions must be met for the acquisition to close?
The acquisition is subject to customary closing conditions.
What will be the status of Forward Industries after the acquisition?
Forward Industries will become a privately held company.
Filing Stats: 486 words · 2 min read · ~2 pages · Grade level 11 · Accepted 2024-12-23 07:57:05
Key Financial Figures
- $0.01 — ch registered Common Stock, par value $0.01 per share FORD The NASDAQ Capital Mar
Filing Documents
- forward_8k.htm (8-K) — 25KB
- 0001683168-24-008908.txt ( ) — 193KB
- ford-20241209.xsd (EX-101.SCH) — 3KB
- ford-20241209_lab.xml (EX-101.LAB) — 33KB
- ford-20241209_pre.xml (EX-101.PRE) — 22KB
- forward_8k_htm.xml (XML) — 3KB
01 Other Events
Item 8.01 Other Events On December 9, 2024, Forward Industries, Inc. (the "Company") was notified by its largest design customer of its plan to discontinue their patch pump program ("Pump") and was beginning to wind down all activities related to it. The Company had agreements with this customer for the purpose of providing the customer with certain services related to the Pump. The notice formally terminated all the Company's services related to the Pump. Revenue from this customer (all of which related to the development of the Pump) represented approximately 25.2% of the Company's consolidated revenue in fiscal 2024. The Company expects this to cause a material decrease in revenues beginning with the second quarter of fiscal 2025. As a result, the Company is currently working on cost reduction efforts to mitigate the reduction in revenue, including a reduction in workforce. 2
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. FORWARD INDUSTRIES, INC. Date: December 23, 2024 By: /s/ Kathleen Weisberg Name: Kathleen Weisberg Title: Chief Financial Officer 3