09:51 AM EDT, 10/02/2024 (MT Newswires) -- Information Services Group ( III ) said Wednesday it has sold its automation unit to UST for $27 million in an all-cash transaction.

Information Services said it received $20 million in cash at closing, while the remaining $7 million was placed in escrow, with $4 million to be released over the next 90 days when certain conditions are met and $3 million to be released at the end of Q1 based on the attainment of certain revenue targets.

The technology research and advisory firm said it intends to use the net proceeds to lower debt and return capital to stockholders.

With the divestiture, the company said it now expects Q3 revenue in the range of $60 million to $61 million, down from its previous forecast range of $64 million to $66 million. Four analysts polled by Capital IQ expect $64.7 million.

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