BIO-key and Visualforma Awarded Contract to Secure Digital Identities for Large Municipality in Portugal

Rhea-AI Summary

BIO-key (NASDAQ: BKYI) formed a strategic partnership with Visualforma to deploy IAM and biometric authentication across Portugal’s public sector. Visualforma will lead a nationwide rollout covering more than 250 government organizations, with operational deployments already active in municipal, educational, healthcare, and a major tourist-city environment.

The program uses PortalGuard, PIN:You, WEB-key, Identity-Bound Biometrics, and certified scanners to enhance cybersecurity, regulatory compliance, and citizen-facing digital services while aligning with Cartão de Cidadão and eIDAS frameworks.

Positive

• Nationwide rollout covering more than 250 government organizations
• Operational deployment in a major tourist city supporting high-volume citizen and visitor services
• Deployment provides validated reference architectures being replicated across municipalities
• eIDAS and Cartão de Cidadão alignment supports regulatory compliance and trusted digital ID

Negative

• None.

News Market Reaction – BKYI

+34.07% 1115.1x vol

39 alerts

+34.07% News Effect

+68.8% Peak in 3 hr 11 min

+$2M Valuation Impact

$8M Market Cap

1115.1x Rel. Volume

On the day this news was published, BKYI gained 34.07%, reflecting a significant positive market reaction. Argus tracked a peak move of +68.8% during that session. Our momentum scanner triggered 39 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $2M to the company's valuation, bringing the market cap to $8M at that time. Trading volume was exceptionally heavy at 1115.1x the daily average, suggesting very strong buying interest.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Public-sector entities: more than 250 government organizations

1 metrics

Public-sector entities more than 250 government organizations Portugal public-sector ecosystem mentioned in contract scope

Market Reality Check

Price: $0.6486 Vol: Volume 178,853 is above t...

normal vol

$0.6486 Last Close

Volume Volume 178,853 is above the 20-day average of 156,867, suggesting elevated interest ahead of this news. normal

Technical Shares at $0.548 are trading below the 200-day MA of $0.76 and sit 72.18% under the 52-week high.

Peers on Argus

BKYI was down 2.14% while peers showed mixed moves: IVDA -2.47%, GFAI -5.31%, bu...

BKYI was down 2.14% while peers showed mixed moves: IVDA -2.47%, GFAI -5.31%, but SUGP +3.39%, SPCB +5.21%, VRME +1.69%. This mix points to stock-specific factors rather than a unified sector move.

Historical Context

5 past events · Latest: Jan 13 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 13	Investor conference	Neutral	-4.1%	Upcoming DealFlow Discovery investor conference presentation and meetings.
Dec 23	Investor conference	Neutral	-0.8%	Announcement of January 2026 DealFlow Discovery conference participation.
Dec 08	Product showcase	Positive	+0.6%	Showcasing passwordless and biometric IAM innovations at Gartner IAM Summit.
Nov 17	Strategic partnership	Positive	+2.9%	Partnership with SAVIS Group to deliver IAM and biometrics in Vietnam.
Nov 14	Earnings and outlook	Negative	-2.4%	Q3 2025 results with lower revenue and net loss plus financing updates.

Pattern Detected

Recent news, including partnerships and conferences, has often seen modest or negative next-day reactions, even on seemingly constructive updates.

Recent Company History

Over the last few months, BIO-key has combined strategic outreach with geographic expansion and financial updates. Conference and investor event announcements on Dec 23, 2025 and Jan 13, 2026 were followed by small negative moves. A Vietnam partnership on Nov 17, 2025 saw a positive reaction of 2.87%. Q3 2025 results on Nov 14, 2025 highlighted lower revenue and a net loss, with a -2.37% move. Today’s Portugal municipality contract continues the strategy of international public-sector deployments.

Market Pulse Summary

The stock surged +34.1% in the session following this news. A strong positive reaction aligns with B...

Analysis

The stock surged +34.1% in the session following this news. A strong positive reaction aligns with BIO-key’s strategy of expanding biometric IAM into government sectors. Prior partnerships, such as Vietnam on Nov 17, 2025, drew a 2.87% move, so a larger reaction to this Portugal municipality contract could reflect its perceived scale and public-sector focus. Investors would still need to weigh past dilution risk from registered warrants and execution risk on large rollouts.

Key Terms

identity and access management (iam), biometric authentication, digital transformation, cybersecurity, +4 more

8 terms

identity and access management (iam) technical

"BIO-key International, Inc. ..., a leading provider of Identity and Access Management (IAM)"

Identity and access management (IAM) is the set of tools and practices a company uses to control who can enter its digital systems and what they can do, like assigning and checking virtual keys for employees, contractors and customers. Investors care because strong IAM reduces the risk of costly data breaches, regulatory fines and downtime, while weak IAM can damage trust, trigger expenses and harm a company’s valuation.

biometric authentication technical

"provider of Identity and Access Management (IAM) and biometric authentication solutions"

Biometric authentication uses a person’s unique physical or behavioral traits—such as fingerprints, facial features, iris patterns, or voice—to verify identity instead of passwords or codes. For investors, it matters because faster, more secure login methods can boost customer trust and reduce fraud-related costs, while also creating opportunities and risks around technology adoption, data privacy rules, and the companies that build or supply the biometric systems.

digital transformation technical

"technology integrator specializing in digital transformation and secure IT solutions"

Digital transformation is the process of using digital technologies to fundamentally change how organizations operate, deliver value, and connect with customers. It often involves updating systems, automating tasks, and improving digital tools to increase efficiency and stay competitive. For investors, it signifies a company's ability to adapt to technological advances, which can impact its growth prospects and long-term success.

cybersecurity technical

"modernizes public-sector cybersecurity, enabling secure, efficient, and citizen-centric"

Cybersecurity involves protecting computers, networks, and digital information from theft, damage, or unauthorized access. It is essential for safeguarding sensitive data and maintaining trust in digital systems, which matters to investors because strong cybersecurity reduces the risk of costly breaches and disruptions that can impact a company’s performance and reputation. Think of it as locking and safeguarding valuable information much like securing a safe to prevent theft.

multi-factor authentication (mfa) technical

"PortalGuard® – a comprehensive IAM platform supporting MFA, SSO, and centralized"

Multi-factor authentication (MFA) is a security method that requires two or more different ways to prove your identity before allowing access to an account—for example, a password plus a one-time code sent to a phone or a fingerprint. For investors this matters because MFA significantly reduces the risk of unauthorized access to sensitive corporate systems, financial accounts, and shareholder data, helping protect company value and reduce the chance of fraud or regulatory problems.

single sign-on (sso) technical

"PortalGuard® – a comprehensive IAM platform supporting MFA, SSO, and centralized"

Single sign-on (SSO) is a login system that lets a user access multiple online services with one set of credentials, like using a single key to open several doors. For investors, SSO matters because it can lower a company’s support costs, improve employee productivity and customer convenience, but it also concentrates access risk—a single compromise can affect many systems and therefore has potential operational and reputational impact.

identity-bound biometrics (ibb) technical

"Identity-Bound Biometrics (IBB) – binding access to the individual, not the device"

Identity-bound biometrics (IBB) are unique physical or behavioral traits—like fingerprints, facial patterns, or voice signatures—captured and cryptographically tied to a single digital identity so they cannot be copied or reused elsewhere. For investors, IBB matters because it strengthens authentication and data protection for products and services, affecting regulatory compliance, customer trust, and competitive advantage; businesses that adopt robust IBB can reduce fraud risk but face privacy and implementation costs.

smart-city technical

"aligned with the city’s smart-city strategy."

A smart city uses sensors, data, and connected technology to run services like traffic, utilities, public safety and waste more efficiently—think of a city operating like a smartphone that monitors and adjusts itself. For investors, smart-city projects signal demand for hardware, software, infrastructure and ongoing services, so they can affect revenue streams, capital spending and long‑term value of companies that build or maintain those systems.

AI-generated analysis. Not financial advice.

Strategic collaboration modernizes public-sector cybersecurity, enabling secure, efficient, and citizen-centric digital services

HOLMDEL, N.J. and FARO, Portugal, Jan. 28, 2026 (GLOBE NEWSWIRE) -- BIO-key International, Inc. (NASDAQ: BKYI), a leading provider of Identity and Access Management (IAM) and biometric authentication solutions, today announced a strategic partnership with Visualforma (https://visualforma.pt/), a Portuguese technology integrator specializing in digital transformation and secure IT solutions. This partnership supports the launch of a new line of business focused on Portuguese municipal councils, enabling the deployment of advanced digital identity and access management to strengthen cybersecurity and improve access to public digital services.

Visualforma will lead the nationwide rollout of BIO-key’s IAM and biometric authentication technologies across Portugal’s public-sector ecosystem, currently comprising more than 250 government organizations. The contract defines a structured deployment framework that has already been executed to secure access to critical digital services, reinforce cybersecurity controls, and ensure regulatory compliance across municipal administrations, educational institutions, and healthcare entities. The program underpins the digital transformation of public services by delivering secure, scalable, and auditable access to government systems and citizen-facing platforms.

In parallel, the agreement includes the deployment of BIO-key’s IAM and biometric technologies within a major tourist city, where the solution is already operational and supporting high-volume, citizen- and visitor-facing digital services. This implementation addresses the specific security, scalability, and availability requirements associated with tourism-intensive environments, enabling secure access to municipal services, public facilities, and digital platforms used by both residents and international visitors, while maintaining a seamless user experience aligned with the city’s smart-city strategy.

BIO-key has already delivered and operationalized its full IAM and biometric security portfolio within selected municipal operational, administrative, and citizen service environments. These deployments serve as validated reference architectures that are being replicated across additional municipalities. The implementation strengthens protection against cyber threats, enhances compliance with public-sector regulatory requirements, and delivers a consistent, secure, and user-centric digital experience for public employees, residents, and visitors alike. BIO-key’s solutions include:

• PortalGuard^® – a comprehensive IAM platform supporting MFA, SSO, and centralized access management
• PIN:You™ – a secure, tokenless, user-friendly PIN-based authentication method
• WEB-key – a proven biometric engine for strong authentication
• Identity-Bound Biometrics (IBB) – binding access to the individual, not the device
• Certified biometric scanners including EcoID III
  
  

“This partnership with BIO-key represents a strategic step in Visualforma’s commitment to support Portuguese municipalities in their digital transformation journey. By integrating advanced identity and biometric security into municipal platforms, we enable safer, more efficient, and more accessible digital services for both public servants and citizens. Together, we are raising the security and usability standards of public digital infrastructure in Portugal,” said Humberto Bento, Operations Director, Visualforma.

“Congratulations to Visualforma on this move into the municipal market. It’s an area with a major direct impact on citizens, where modernization, security, and simplifying processes truly make a difference day to day. We are excited to support Visualforma in this new partnership. We welcome you and wish you every success!” said Ana Marques, Director of Sales, BIO-key International.

“Municipal services sit at the heart of citizens’ daily interactions with government, making security, trust, and ease of use absolutely critical. Partnering with Visualforma allows BIO-key to bring proven, biometric-centric IAM capabilities to Portuguese municipalities through a highly trusted local integrator. Our platform also supports secure identity verification through integration with the Portuguese Cartão de Cidadão and alignment with eIDAS-compliant electronic identification frameworks, strengthening trust, regulatory compliance, and seamless access to digital public services. This collaboration reflects our long-term commitment to Portugal and to advancing secure, citizen-centric digital government services,” said Alex Rocha, Managing Director, BIO-key International.

About Visualforma (https://visualforma.pt/)
Visualforma is a leading Portuguese technology integrator with more than 30 years of experience, widely recognized as a trusted reference in the Portuguese public sector. The company specializes in digital transformation, IT infrastructure, cybersecurity, and business solutions for central government, municipal administrations, education institutions, and healthcare organizations, as well as private-sector enterprises. With a proven track record supporting a nationwide footprint across municipalities, universities, and health entities, Visualforma plays a key role in modernizing public services, strengthening cybersecurity, and enabling secure, compliant, and citizen-centric digital platforms. Its strong focus on innovation, regulatory alignment, and operational excellence has positioned Visualforma as a long-term strategic partner for public-sector digital transformation in Portugal.

About BIO-key International, Inc. (www.BIO-key.com)
BIO-key is revolutionizing authentication and cybersecurity with biometric-centric, multi-factor identity and access management (IAM) software securing access for over forty million users. BIO-key allows customers to choose the right authentication factors for diverse use cases, including phoneless, tokenless, and passwordless biometric options. Its cloud-hosted or on-premise PortalGuard IAM solution provides cost-effective, easy-to-deploy, convenient, and secure access to computers, information, applications, and high-value transactions.

BIO-key Safe Harbor Statement
All statements contained in this press release other than statements of historical facts are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995 (the "Act"). The words "estimate," "project," "intends," "expects," "anticipates," "believes" and similar expressions are intended to identify forward-looking statements. Such forward-looking statements are made based on management's beliefs, as well as assumptions made by, and information currently available to, management pursuant to the "safe-harbor" provisions of the Act. These statements are not guarantees of future performance or events and are subject to risks and uncertainties that may cause actual results to differ materially from those included within or implied by such forward-looking statements. These risks and uncertainties include factors set forth under the caption "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2024 and other filings with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. Except as required by law, we undertake no obligation to disclose any revision to these forward-looking statements, whether as a result of new information, future events, or otherwise.

Engage with BIO-key Corporate

Facebook:	https://www.facebook.com/BIOkeyInternational/
LinkedIn:	https://www.linkedin.com/company/bio-key-international
X:	@BIOkeyIntl
Investors
X:	@BIO_keyIR
StockTwits:	@BIO_keyIR

Investor Contacts
William Jones, David Collins
Catalyst IR
BKYI@catalyst-ir.com or 212-924-9800

FAQ

What did BIO-key (BKYI) and Visualforma announce on January 28, 2026 regarding Portugal municipal security?

They announced a strategic partnership to deploy IAM and biometrics across Portuguese municipalities. According to BIO-key, Visualforma will lead rollout across more than 250 government organizations, delivering PortalGuard, PIN:You, WEB-key, IBB, and certified scanners for public-sector services.

How will the BIO-key and Visualforma contract affect municipal digital services in Portugal?

It aims to strengthen cybersecurity while improving citizen access to services. According to BIO-key, the deployment delivers scalable, auditable access, regulatory alignment with eIDAS and Cartão de Cidadão, and a user-centric experience for public employees, residents, and visitors.

Which BIO-key products are being deployed under the BKYI–Visualforma agreement in Portugal?

The rollout includes PortalGuard, PIN:You, WEB-key, Identity-Bound Biometrics, and certified scanners. According to BIO-key, these components provide MFA, SSO, tokenless PIN auth, strong biometric verification, and certified hardware for municipal use.

Is the BIO-key solution already operational in any Portuguese municipality or city?

Yes, BIO-key is already operational in a major tourist city and selected municipal environments. According to BIO-key, the city deployment supports high-volume resident and visitor services and serves as a reference architecture for broader municipal replication.

What compliance and identity standards does the BKYI deployment support for Portuguese public sector?

The program aligns with eIDAS electronic identification frameworks and integrates with Cartão de Cidadão. According to BIO-key, this supports trusted digital identity verification, regulatory compliance, and seamless access to citizen-facing government platforms.