With only a couple months to go until it lists publicly on the Australian Securities Exchange (ASX), Australian data security firm, Covata, is setting its sights on the United States financial sector.
The company, which is a subsidiary of Sydney's Cocoon Data, has been operating in the US for the past couple of years. In June, the company signed a deal with ASX-listed Prime Minerals in a bid to launch a reverse takeover and list publicly in September as Covata Limited.
Now, as the company works to obtain crucial industry certifications in the US, it plans to focus its burgeoning expansion on the country's financial management sector.
"We think our highest priority ought to be in financial management," Charles Archer, CEO and executive chairman of Covata USA, told ZDNet.
Covata — a play on the words 'covert' and 'data' — also sells its products to government agencies and contractors, and according to Archer, who is a former assistant director of the FBI, the company plans to continue working on building its business in the US government sector.
"We intend to do more government business," he said. "We would tend to be a subcontractor to an established prime, like Lockheed-Martin or Northrop Grumman, somebody who has a series of ongoing contracts or professional services arrangements."
Cocoon Data Holdings, based in Sydney, was founded in 2007, and its digital security business, Covata, offers services allowing users to send and store sensitive information using military grade encryption that secures data at the point of origin prior to it being shared and distributed to the cloud.
According to Cocoon Data's founder and executive chairman, Trent Telford, the intellectual property around Covata's security processes is unique in the marketplace.
"We've had a patent granted just recently in the US, on that basis," he said. "What's interesting is it's not a technology code-based patent, it's a business process patent. The idea of separating data from the individual keys, anywhere, including in the cloud, to get a process patent granted on that is quite interesting."
For Telford, Covata's listing on the ASX in September is set to provide some comfort for potential partners and customers both in Australia and further afield.
"It gives our partners and customers a level of confidence in the company. We're going to be around tomorrow," said Telford.
Another benefit of the listing, according to Telford, is that the company will not be required to go through lengthy procurement processes, because as a listed company, information will be publicly available for reference.
Earlier this month, Covata announced its latest reseller agreement, with NSC Global Services, which is now the sole reseller of the company’s products in Europe, the Middle East, and Africa.