Banknote maker De La Rue sold to US buyout firm for £263m
UK banknote printer De La Rue has agreed to be bought by a US buyout firm in a deal worth £263 million.
The more than 200-year-old company, which is based in Basingstoke, Hampshire, will be taken off the London Stock Exchange and acquired by Atlas.
Connecticut-based Atlas specialises in buying and investing in struggling companies across industrial sectors such as construction, paper and printing, car components, and food production.
It currently has controlling stakes in a group of 27 firms which employ more than 57,000 people combined.
De La Rue launched a formal process earlier this year to put itself up for sale.
In January, it was approached over a possible takeover deal worth £245 million by British financier Edi Truell.
It later agreed to sell its authentication arm – which provides software for governments and businesses – to US-listed group Crane NXT for £300 million.
De La Rue has been struggling with a downturn in demand for cash since the pandemic, and in July last year it cautioned over risks to its ability to keep operating because of the payment of a loan due in July 2025.
Hiving off its authentication arm meant it could repay the loan in full.
Clive Vacher, De La Rue's chief executive, said the company had 'undergone a fundamental transformation since 2020', including enhancing profitability in its currency business.
'Atlas is the right partner to take De La Rue into its next phase of growth,' he said.
'Most importantly, under Atlas's ownership we can ensure long-term stability for our customers and our people, and best position the business for its next chapter.'
Perer Bacon, a partner at Atlas, said: 'In De La Rue, we see a company that is an industry leader, but one which has faced multiple challenges in recent years.'
Atlas said it believes bringing the company under private ownership will put it in a better position to secure further investment.
Shares in De La Rue soared more than 15% on Tuesday morning.
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