U.S.-based Crane NXT Co has announced a definitive agreement with De La Rue Plc to acquire the latter’s authentication business for GBP300 million (US392.3 million) in cash.
The acquisition, subject to customary adjustments, will expand Crane NXT’s portfolio to include security technologies for the identification documents and credentials market, said the firm in a press release on Tuesday.
The agreement does not include the currency business of United Kingdom-based De La Rue. It is expected the acquisition will be completed in the first half of 2025.
Crane NXT supplies a range of industries, including products for the gaming sector.
The suitor said in a press release that the target was “a leading global provider of digital and physical security and authentication technologies to governments and brands, delivering more than 30-years of industry-leading authentication solutions in nearly 80 countries.”
De La Rue’s security features are said to include surface-relief microstructures and holographic technologies. The company also offers products that track and authenticate unique items across global supply chains.
Aaron Saak, Crane NXT’s president and chief executive, stated in prepared remarks that the acquisition would assist Crane NXT’s strategy of being “a 카지노사이트 market leader in providing trusted technology solutions that secure, detect and authenticate [its] customers’ most valuable assets”.
De La Rue’s authentication business generated approximately US$130 million in revenue in the fiscal year ended March 30, 2024, with an adjusted earnings margin of approximately 20 percent, said Crane NXT.
The suitor stated it expected the deal to deliver “double-digit” return on invested capital by the fifth year post acquisition, “driven by the growth outlook” of De La Rue’s authentication solutions business .as well as what it called “transaction synergies”.