Creates New Security and Authentication Technologies Segment, Consisting of Crane Currency and OpSec Security
Sam Keayes Appointed Senior Vice President, Security and Authentication Technologies
WALTHAM, Mass. and LONDON, May 07, 2024 (GLOBE NEWSWIRE) -- Crane NXT, Co. (NYSE:CXT) ("Crane NXT" or the "Company"), a premier industrial technology company, today announced that it has completed its acquisition of OpSec Security ("OpSec"), a global leader in brand protection and authentication solutions.
Aaron W. Saak, Crane NXT's President and CEO, stated: "Acquiring OpSec is a major milestone in the execution of our growth strategy. We are thrilled to officially welcome the OpSec team to Crane NXT. With this acquisition, we will expand our capabilities across the entire authentication value chain, creating a leading brand and product authentication platform. We look forward to working with our new colleagues to solidify our position as a leader in providing solutions that secure, detect and authenticate our customers' most valuable assets."
In connection with the acquisition of OpSec, the Company is renaming its "Crane Currency" reportable segment to "Security and Authentication Technologies," which will consist of the Crane Currency business and the acquired OpSec business. The CPI segment will remain unchanged. This updated structure better aligns with the Company's strategy to expand its portfolio of technology solutions and serve its customers. The updated segment presentation will be effective in the second quarter of 2024 and has no effect on the first quarter's financials results.
The Company also announced Sam Keayes, President of Crane Currency, has been promoted to Senior Vice President, overseeing the Security and Authentication Technologies segment, and reporting directly to Mr. Saak. Mr. Keayes has been instrumental in growing the Crane Currency business and expanding the adoption of its micro-optics technology internationally to over 150 denominations in approximately 50 countries. Dr. Selva Selvaratnam will remain in his role as the leader of OpSec and will report to Mr. Keayes.
Mr. Keayes stated: "Crane NXT has developed expertise in the large and rapidly expanding authentication and brand protection markets through the success of our micro-optics technology. I look forward to supporting the OpSec team as they solve customers' brand reputation and counterfeiting challenges, using the industry's most comprehensive portfolio of digital and physical authentication solutions."
Crane NXT continues to expect the acquisition to be accretive to Adjusted EPS in 2025 and to achieve double digit ROIC by year five. The Company will provide updated full year guidance as part of its first quarter 2024 earnings release scheduled for May 8, 2024.
About Crane NXT, Co.
Crane NXT is a premier industrial technology company that provides trusted technology solutions to secure, detect, and authenticate what matters most to its customers. Crane NXT is a pioneer in advanced micro-optics technology for securing physical products, and its sophisticated electronic equipment and associated software leverages proprietary core capabilities with detection and sensing technologies. Crane NXT has approximately 4,000 employees with global sales, research and development, and operations in the United States, the United Kingdom, Mexico, Japan, Germany, Sweden, and Malta. For more information, visit www.cranenxt.com.
About OpSec Security
OpSec Security is a world leader in authentication and brand integrity with a heritage that spans four decades. OpSec serves many of the world's leading brand owners, licensors, and media rights owners, helping them build intangible value and mitigate vulnerability across both physical and digital domains. OpSec also provides high-security and compliance solutions to governments. With their global reach and coverage, they integrate into brand operations, royalty cycles, and products, as well protecting brand identity and digital content across online marketplaces, social media platforms, websites, and beyond. OpSec brings together multiple disciplines to ensure that solutions are brand-led, practical, and effective. For more information, visit www.opsecsecurity.com.
Crane NXT Contact:
Rima Hyder
Vice President, Investor Relations
[email protected]
OpSec Contact:
Giles Walker, Chief Marketing and Strategy Officer
[email protected]
Forward-Looking Statements Disclaimer
This press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements include all statements that are not historical statements of fact and those regarding the Company's intent, belief, or expectations.
Words such as "anticipate(s)," "expect(s)," "intend(s)," "believe(s)," "plan(s)," "may," "will," "would," "could," "should," "seek(s)," and similar expressions, or the negative of these terms, are intended to identify such forward-looking statements. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could lead to actual results differing materially from those projected, forecasted or expected. The Company assumes no (and disclaims any) obligation to revise or update these statements to reflect future events or circumstances. Although the Company believes that the assumptions underlying the forward-looking statements are reasonable, it can give no assurance that its expectations will be attained. The Company cautions investors not to place undue reliance on any such forward-looking statements.
Risks and uncertainties that could cause actual results to differ materially from the Company's expectations include, but are not limited to: changes in global economic conditions (including inflationary pressures) and geopolitical risks, including macroeconomic fluctuations; demand for its products, which is variable and subject to factors beyond its control; fluctuation in the prices of, or disruption in its ability to source, components and raw materials, and delays in the distribution of its products; information systems and technology networks failures, breaches in data security, theft of personally identifiable and other information, and non-compliance with its contractual or other legal obligations regarding such information; risks associated with conducting a substantial portion of its business outside the U.S.; being unable to successfully develop and introduce new products, which would limit its ability to grow and maintain its competitive position; loss of personnel or being able to hire and retain additional personnel needed to sustain and grow its business as planned; being unable to identify or complete acquisitions, or to successfully integrate the businesses the Company acquires; governmental regulations and failure to comply with those regulations; risks from litigation, claims and investigations, including those related to product liability and warranties, and employee, commercial, intellectual property and environmental matters; risks related to its ability to improve productivity, reduce costs and align manufacturing capacity with customer demand; the ability to protect its intellectual property; significant competition in the Company's markets; adverse impacts from intangible asset impairment charges; additional tax expenses or exposures; inadequate or ineffective internal controls; and risks related to the Separation, including not obtaining the intended tax treatment of the Separation transaction, failure of Crane Company to perform under the various transaction agreements and actual or potential conflicts of interest with Crane Company.
Readers should carefully review Crane NXT, Co.'s financial statements and the notes thereto, as well as the section entitled "Risk Factors" in Item 1A of Crane NXT, Co.'s Annual Report on Form 10-K for the year ended December 31, 2023 and the other documents Crane NXT, Co. and its subsidiaries file from time to time with the SEC. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements.
