Inpixon Announces Plans to Spin-Off Inpixon USA as a Separate Public Company

Inpixon (NASDAQ:INPX), a leading indoor positioning and data analytics company announced that its board of directors has authorized proceeding with a spin-off of its wholly owned subsidiary, Inpixon USA. The spinoff company would be named as Sysorex Inc in connection with the consumation of the transaction, following which Sysorex will become an independent publicly traded company.

As quoted in the press release:

The strategic goal of the spin-off is to create two public companies, each of which will be better positioned to capitalize on growth opportunities and have a greater focus on their own individual strengths and operational plans.

Upon the completion of the proposed transaction, Inpixon plans to continue to focus its operations related to the development of its Indoor Positioning Analytics technology. Inpixon expects that its management team will be comprised of the same management team as prior to the spin-off and continue to be led by Nadir Ali, Chief Executive Officer. Inpixon will remain headquartered in Palo Alto, Calif. and continue to trade on the Nasdaq Capital Market under the ticker symbol “INPX”. Following the spin-off, Sysorex plans to continue focusing on its business of providing third-party hardware, software, and related maintenance and warranty products and services that it resells to commercial and government customers with a management team that will be led by Zaman Khan, current President of Inpixon Federal, Inc. Sysorex expects to remain headquartered in Herndon, Va.

“A technology company and a value-added reseller (VAR) company are two fundamentally different types of businesses. By separating them into two independent entities, we can empower them to realize their true potential with a single focus,” said Nadir Ali, Inpixon Chief Executive Officer. “We believe this spin-off will provide that opportunity. With this separation, Inpixon will be able to invest its capital and resources towards enhancing and developing its Indoor Positioning Analytics technology in order to deliver faster innovations and grow its customer base. Sysorex, with its own dedicated management team, can concentrate its efforts on pursuing distinct opportunities for procuring third-party products and value-added services for commercial and federal customers for long-term growth and profitability.”

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