UPM Sells Its RFID Business to SMARTRAC
Dec. 22, 2011 - UPM said that it has has reached an agreement with SMARTRAC N.V. today whereby UPM sells its RFID business to SMARTRAC. UPM will become an indirect shareholder of SMARTRAC with a 10.6 percent economic interest through the company OEP Technologie B.V.
SMARTRAC is registered in the Netherlands and is one of the global market leaders in high-quality RFID inlays for electronic passports and contactless credit cards as well as for RFID transponders for public transport applications.
"UPM has been developing and investing in its RFID inlay business for a number of years," said Jussi Vanhanen, President, Engineered Materials, UPM. "The business unit has evolved from a small venture to a sizeable business and is now recognized as the market leader in its field.
"Combining the business unit with a company with the industry's widest RFID business portfolio, we give it new leverage to continue to develop successfully. We see significant value increase potential in this new combination. Therefore we are pleased to become an indirect shareholder of SMARTRAC," Vanhanen said.
UPM expects the deal to close during the first quarter of 2012, subject to regulatory approvals.
SMARTRAC is a leading developer, manufacturer, and supplier of RFID components for a broad range of applications in all current frequency standards. The company produces both ready-made and customized transponders for public transport, access control, RFID-based car immobilizers, animal identification, libraries, industry, and logistics.