De La Rue has agreed to acquire the Authentication business of DuPont Electronics & Communications for a cash consideration of US $25 million.
DuPont produces photopolymer holographic films and 3D holograms and associated software, used in the brand protection and identity authentication industry. Its products are based on Lippmann holography technology.
DuPont Authentication, with around 40 employees, is based in Utah in the United States with operations in Delaware. Customers include leading government entities and companies including Lenovo Group and Brother Industries Ltd.
DuPont Authentication expects revenues of c$14 million in 2016.
De La Rue expects the transaction to complete by the end of this year. Speaking of the acquisition, De La Rue CEO Martin Sutherland said:
“We are delighted to have made further progress against our 2020 strategic plan by adding DuPont Authentication to the De La Rue family. It is a business with a strong intellectual property portfolio, global blue-chip customers and a committed and experienced workforce.
Government and brand owners around the world are increasingly focused on protecting identities and their supply chains from counterfeiting and protecting both revenues and customers from illicit trade. This transaction will further enhance our position in this strategically important and growing market.”
To read the full press release from De La Rue, click here.