mCloud Technologies (MCLD.V) announced it signed a final binding stock agreement to complete its acquisition of Atlanta-based 3D tech company, Construction Systems Associates (CSA).

MCLD put out the original letter of intent for this acquisition almost two years ago, on January 11, 2018. Figure in that 80% of all nuclear plants in the United States rely on technology provided by CSA for their day to day plant operations and complex change management activities, and this acquisition gives mCloud the opportunity become of the largest providers of 3D asset management capabilities to the nuclear power industry in North America.

“CSA is already an industry leader in delivering accurate 3D asset models to the nuclear power industry, and by merging their technologies with the AI-powered capabilities we provide through AssetCare, we will be able to take accuracy to an entirely new level for numerous asset management applications,” said Constantino Lanza, mCloud’s chief growth officer.

mCloud’s raison d’etre is the creation of a more efficient future through the use of AI and analytics, curbing energy waste and making the most of energy production. Their AI-powered AssetCare platform is critical to completing this mission. They offer a complete asset management solution to three distinct segments: smart facilities, power generation and process facilities including oil and gas. In each of these sectors, IoT sensors are employed to take data from assets into the cloud, where artificial intelligence and analytics are applied to maximize their performance.

The company is based in Vancouver, but they have officers in twelve locations worldwide. The company has subsidiaries spread throughout the tech spectrum, encompassing IoT, AI, 3D and mobile capabilities to customers, all integrated through AssetCare. They include more than 100 blue-chip customers and more than 35,000 assets connected in thousands of locations worldwide.

This isn’t anyone’s idea of exciting stuff, but CSA has developed capabilities to deliver accurate three-dimensional asset data for large facilities and complex assets, such as nuclear power plants and other industrial uses. Here’s an example of a video depicting a 3D model merged with 3D laser scans, showing the path a new pipe takes through a nuclear power plant when replacing a heater.

If you watched that – congratulations. You can wake up now. Have a stretch and a coffee.

The video is an example of one of the many operations this company brings to the nuclear power game.

The company also plans on combining their 3D capabilities and data already collected by AssetCare to use in mixed reality solutions using digital eyewear like the RealWear HMT-1Z1.

The financial side

The consideration payable to the vendors for the acquisition of all of the outstanding stock of CSA will consist of the following:

• US$500,000 in cash;
• The issuance of such number of common shares of the Company as is equal to US$1,250,000 divided by the ten-day volume-weighted average trading price of the Company’s common shares preceding the date of this release; and
• Conditional on certain earnout conditions being met, additional cash payments of up to US$1,250,000 and up to US$500,000 worth of common shares of the Company.

CSA’s other customers include Exelon, Dominion Energy, Southern Company, and the Public Service Enterprise Group, Toshiba, among others.

—Joseph Morton