Absolute Software partners with Samsung; shares soar
(Reuters) - Absolute Software Corp (ABT.TO) said Samsung Electronics Co Ltd (005930.KS) will use its software that allows for tracking of stolen mobile devices in its Galaxy range of products, sending the Canadian company's shares up as much as 37 percent.
Absolute Chief Executive John Livingston told Reuters there was no financial component to what he referred to as the "partnership". The company said it hoped the deal would pave the way for future deals with employers that want to use the software to track and secure mobile devices and laptops.
Samsung will embed the company's anti-theft and data-protection technology in the core software of Galaxy mobile devices.
The agreement marks the first time that Vancouver-based Absolute's persistence technology will be used in smartphones.
Absolute's website says the technology gives users who sign up for its service the ability to maintain a connection with their device, regardless of user or location.
It also allows them to receive alerts, maintain compliance with corporate and government regulations and investigate security incidents as well as recover stolen devices.
"Key to the Samsung deal is the ability for Absolute to be uniquely persistent in the widest range of mobile connected devices," Cantor Fitzgerald analyst Tom Liston said in a note to clients on Wednesday.
The stock, which hit a four-and-a-half-year high, was one of the top percentage gainers on the Toronto Stock Exchange on Wednesday morning.
Absolute Software shares were trading at C$6.52 at midday, up 19 percent from Tuesday's close.
(Reporting by Shounak Dasgupta in Bangalore; Editing by Sreejiraj Eluvangal)