Redwood AI Corp. (CSE: AIRX) (OTCQB: RDWCF) (Frankfurt: Y0N, WKN: A422EZ) has entered into a definitive share purchase agreement to acquire Vancouver-based Quantum.IQ Technologies Inc., expanding its technology platform into quantum-resistant cybersecurity, cryptographic intelligence and enterprise security infrastructure modernization. The acquisition is expected to broaden Redwood’s exposure beyond AI and operational intelligence into post-quantum cybersecurity, enterprise resilience and critical infrastructure modernization, subject to customary closing conditions and regulatory approvals.
Under the agreement, Redwood will issue up to 14,033,558 common shares valued at approximately $2.98 per share, including 7,033,558 base shares and up to 7 million milestone shares tied to customer, revenue and EBITDA targets. Redwood said the combination of its AI capabilities with Quantum.IQ’s post-quantum cryptography platform is expected to strengthen its position in security-sensitive markets serving government, defense, financial services and critical infrastructure organizations.
This acquisition signals a strategic pivot for Redwood AI, which previously focused on using artificial intelligence to accelerate chemistry research and development, particularly in drug discovery and defense solutions. By adding Quantum.IQ’s cryptographic intelligence, the company aims to address the growing threat that quantum computing poses to existing encryption standards. Post-quantum cryptography is designed to secure systems against both classical and quantum attacks, a concern that has become urgent as quantum computing advances.
According to industry analysts, the global post-quantum cryptography market is projected to grow significantly in the coming years as organizations rush to future-proof their security infrastructure. The integration of AI with quantum-resistant technologies could offer enhanced threat detection and adaptive security measures, potentially giving Redwood a competitive edge in the cybersecurity landscape.
For Redwood AI, the deal also provides access to Quantum.IQ’s existing customer base and expertise in enterprise security modernization. The company noted that the combined platform would be particularly relevant for sectors such as government and defense, where data protection is critical. The milestone shares structure aligns incentives with performance, ensuring that Quantum.IQ’s team remains motivated to achieve growth targets.
Investors and stakeholders can find the latest news and updates relating to RDWCF in the company’s newsroom at https://ibn.fm/RDWCF. The full press release regarding the acquisition is available at https://ibn.fm/brYSH.
