Robotic Assistance Devices acquired by OMVS

Reverse merger gives RAD access to capital to drive continued growth of its robots-as-a-service model
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Wednesday, September 6, 2017

LAGUNA HILLS, Calif.—Robotic Assistance Devices (RAD), a North American distributor for SMP Robotics, announced its acquisition by On the Move Systems or OMVS. The deal was finalized on Aug. 31.

The reverse merger with OMVS allows RAD access to capital to scale its product portfolio and help further increase its market position in the robotic guard market, according to Steve Reinharz, RAD president and CEO.

“The goal is to really work to be the dominant player in the delivery of a variety of different robotic solutions and the first robotic solution that we are working with is the security robot,” Reinharz told Security Systems News. “To attain that goal, I knew that I needed a financial model that would sustain rapid growth, and rapid funding of additional development in order to achieve that dominant position.”

As the demand for robotic security guards continues to grow at a rapid rate, Reinharz noted, “RAD will be ideally positioned to deliver customized services and solutions to its broad client base across North America. Specific reasons for this include expected demand, tremendous initial interest and growing momentum for demand, and a very positive financial model that provides an amazing return on investment for the end user.”

He continued: “We feel this is the beginning of a multi-billion dollar new industry in security alone.”

Garrett Parsons, CEO, OMVS, said in the announcement, “Steve and his team have successfully built a company focused on their mission of delivering results to the security and guarding industries. Now, with this merger, they will be able to take that mission to the next level expanding the reach of the security guard robot and creating a shift in the way guarding companies do business.”

Reinharz pointed out that RAD’s security robots serve as a force multiplier and remove security personnel from potentially dangerous situations, reducing liability for organizations that deploy the security guard robot. Additionally, the robotic guard costs approximately 50 percent less per hour than traditional guards, resulting in significant long-term savings, he said.

RAD deploys its robots using a “robots-as-a-service” rental program charging on a monthly basis for the robot. Included in the monthly fee are regular maintenance, warranty, upgrades, training and retraining, and deployment.

Founded in 2016, RAD is a high-tech start-up that is an exclusive partner of SMP Robotics, based in San Francisco. RAD currently has a sales pipeline of more than 50 Fortune 500 companies and more than 25 qualified dealers and distributors that have a combined customer base of more than 35,000 corporations, according to the press release.