M&A
confidence high
sentiment positive
materiality 0.85
Knightscope, Inc. (KSCP): M&A transaction — Knightscope acquires Event Risk for up to $12.1M cash, stock, and contingent payments
Knightscope, Inc.
- Total consideration: $5M cash at close, $1.1M debt assumption, 1.72M shares, $4M deferred cash payments through 2028.
- Earn-out up to $2M based on 2026 revenue ($35M) and gross margin (20%); revenue share capped at $10M for 2027-2031.
- Event Risk provides armed/unarmed guarding and executive protection; positive EBITDA, double-digit growth, Fortune 1000 clients.
- Eric Rose remains President of Event Risk; plans to rebrand as Knightscope Security Force in 2026.
- Transaction funded with $6.1M cash from Knightscope; pro forma financials to be filed via amendment.