(Bloomberg) -- Lionheart III Corp., a special purpose acquisition company, has held talks with Australian technology company Security Matters Ltd., according to people with knowledge of the matter.

Lionheart has begun discussions with backers of a potential private investment in public equity, or PIPE, for a deal that would provide growth capital to Melbourne-based Security Matters, said one of the people, who requested anonymity discussing confidential negotiations. A transaction hasn’t been finalized and it’s possible talks collapse.

Representatives for Miami-based Lionheart and Security Matters declined to comment. 

Lionheart, a blank-check firm led by Chairman and Chief Executive Officer Ophir Sternberg, raised $125 million in an initial public offering last year. Earlier Lionheart SPACs have agreed to deals with MSP Recovery and BurgerFi International Inc.

Security Matters, originally based in Israel and led by Chairman Ed Hofland and CEO Haggai Alon, counts BASF SE among its partners. The company says its products can help “uphold supply-chain integrity and provide quality assurance and brand accountability to producers of goods.”

Earlier this month, Security Matters said it was negotiating a Nasdaq listing, though it had not reached a material or binding agreement with a SPAC.

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