Identive Secures New Growth Capital

Initial Drawdown of $7.5M Completed, With Agreement for Future Financing


SANTA ANA, Calif. and ISMANING, Germany, Nov. 1, 2012 (GLOBE NEWSWIRE) -- Identive Group, Inc. (Nasdaq:INVE) (Frankfurt:INV), a provider of products and services for the identification, security and RFID industries, today announced that it has entered into a $10 million secured loan agreement with Hercules Technology Growth Capital, Inc. (NYSE:HTGC). On October 30, 2012, Identive received an initial advance of $7.5 million, and has the opportunity to borrow an additional $12.5 million for a total of $20 million subject to terms and conditions set forth in the agreement.

The initial drawdown of $7.5 million is in the form of a three-year promissory note that bears interest at a rate of the greater of the prime rate plus 7.75% or 11.00%. The Company's ability to borrow additional funds under the loan agreement is subject to its ongoing compliance with a number of customary financial and other covenants as described in the loan agreement.

David A. Wear, CFO of Identive commented, "Our success in securing non-dilutive financing on market terms with a premier technology lender not only gives us an important cushion against business downturn, but enables us to fund working capital growth requirements. Access to this additional liquidity allows us to manage our growth business needs more efficiently as we continue to invest in and build upon emerging opportunities in the secure identification market."

Hercules Technology Growth Capital is a leading specialty finance company based in Palo Alto, California and focused on providing senior secured loans to venture capital-backed companies in technology-related markets.

Piper Jaffray & Co. acted as exclusive financial advisor and sole placement agent to Identive on the loan transaction.

About Identive

Identive Group, Inc. (Nasdaq:INVE) (Frankfurt:INV) is focused on building the world's signature company in Secure ID. The company's products, software, systems and services address the markets for identity management, physical and logical access control, cashless payment, NFC solutions and a host of RFID-enabled applications for customers in the government, enterprise, consumer, education and healthcare sectors. Identive's mission is to build a lasting business of scale and technology based on a combination of strong technology-driven organic growth and disciplined acquisitive expansion. The company delivers up-to-date information on its activity as well as industry trends through its industry-leading social media initiatives and educational resource, AskIdentive.com. For additional information, please visit www.identive-group.com or follow on Twitter at @IdentiveGroup.

The Identive Group, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=8072



            

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