L-1 Identity Solutions Increases Cash Offer for ComnetiX

ComnetiX board approves purchase price of close to $16 million


L-1 Identity Solutions, the brainchild of former L-3 Communications co-founder Robert LaPenta, has sweetened its offer to acquire biometrics firm ComnetiX Inc.

The biometrics parent company, which was originally founded to spur development in the biometrics field, has offered $1.05 per share of Comnetix stock for all issued and outstanding ComnetiX shares. That increase brings the purchase price to roughly $16 million.

The Comnetix board of directors has reportedly accepted the offer and advised shareholders to accept. The next step will be to have the company's shareholders vote on the offer at their shareholder meeting on Friday, Jan. 19 in Toronto.

ComnetiX, of course, is not without competitors. The company is also being pursued by BIO-key International, which extended a share-for-share offer to ComnetiX shareholders on Dec. 21, 2006.

ComnetiX's chief technology has been biometric fingerprinting solutions, and has been used by such organization as American Airlines, Lehman Brothers and the New York State Division of Criminal Justice Services.