Business
Acquisition of Cartor Holdings Limited
Acquisition of Cartor Holdings Limited.
About this update from Spectra Systems Corporation
[{"type":"text","content":"\n\nTHIS ANNOUNCEMENT IS FOR INFORMATION PURPOSES ONLY AND IS NOT AN OFFER OF SECURITIES IN ANY JURISDICTION. THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION.\n \nFor immediate release\n4 December 2023\n \nSpectra Systems Corporation\n(\"Spectra\" or the \"Group\")\n \nAcquisition of Cartor Holdings Limited\nTo accelerate the Group's penetration of the polymer banknote substrate market and open new sales channels for its security products\nSpectra Systems Corporation (AIM: SPSY.L), a leader in machine-readable high speed banknote authentication, brand protection technologies and gaming security software is pleased to announce that it has entered into a conditional agreement to acquire Cartor Holdings Limited (\"Cartor\"), a leader in the security printing industry, for a maximum consideration of £10.5 million (the \"Acquisition\"). Completion of the Acquisition (\"Completion\") is subject to certain customary conditions.\nHighlights\nOnce completed and Cartor has been integrated into the Group, the Acquisition is expected to:\n· Consolidate the supply of Spectra's FusionTM polymer substrate within the enlarged Group\n· Increase margins on polymer substrates by bringing profit margin within the enlarged Group\n· Open new sales opportunities for Spectra security products in:\no postage stamps,\no tax and revenue stamps,\no brand protection and security labels,\no other security documents\n· Increase combined earnings through replacing current supplies to Cartor with Spectra's optical materials\n· Increase product development capabilities with direct access to Cartor's state-of-the-art printing capabilities\n· Increase visibility for Spectra through two facilities in Wolverhampton, UK, and Meauce, France, giving the enlarged Group presence in four G7 countries\nBackground on Cartor\nCartor, through its three wholly-owned subsidiary companies, operates from two manufacturing sites in the UK and France, supplying postage stamps to over 180 administrations globally. In addition to conventional and hybrid postage stamps, it prints and produces tax stamps, vouchers, coupons, certificates, and security documents, and provides a safe and secure environment for hand assembly and fulfilm...