Ecoark Holdings of Rogers sells Phoenix subsidiary for $4.8 Million

Publicly held Ecoark Holdings of Rogers (OTCQX: EARK), which has taken several steps recently to streamline operations and reallocate capital, has sold one of its subsidiaries, Phoenix-based Eco3d, a 3-D digital modeling firm acquired by Ecoark three years ago.

Eco3d bought its company back for $4.8 million in cash and assets. The deal closed April 14 and includes $1.9 million in cash, 560,000 shares of Ecoark common stock — returned to the company by the buyer’s principals at $4.74 per share, the closing share price on the date the deal closed — and the assumption of liabilities, including $200,000 payable to Ecoark Holdings within four months.

“This transaction allows us to further focus our efforts on the commercialization and eventual profitability of our core technologies, such as Zest Fresh, and to add additional strategic acquisitions to our portfolio that provide the greatest opportunity of generating long-term shareholder value,” Ecoark CEO Jay Puchir said in a statement. “Eco3d was a positive addition to our portfolio, as it had strong management and was well recognized as an industry leader within its space.”

Puchir said Ecoark will continue to allocate new and existing capital toward investments that provide long-term shareholder value.

“We are entering an exciting next phase for our company and our shareholders,” he said.

Ecoark is a technology provider that helps fight waste in operations, logistics and supply chain for a wide range of corporate clients.

Eco3d president and CEO Phil Smerz said the buyback process was amicable.

“[Ecoark chairman] Randy [May] and those guys are great, I just saw an opportunity, personally, as both companies evolved, to buy the company back,” he said.

Smerz said the company has 63 employees, as compared to 11 when it was acquired by Ecoark.