Private equity firm Carlyle Group has agreed to sell UK cash handling business Talaris to Japan's Glory for around £650 million, nearly doubling its four-year old investment in the former De La Rue division.
Talaris was created in 2008 when Carlyle acquired the cash systems division of British bank note printer De La Rue for £360 million in cash. Carlyle says that since then it has facilitated the company's expansion into new geographies, particularly in markets like Brazil, invested in new technologies, and increased earnings by more than 40%.
Japan's money handling machine maker Glory has made a binding offer for the business worth nearly twice Carlyle's investment of four years ago. Glory hopes the acquisition will boost its presence outside of Asia, helping it expand into Europe, the US and South America.
Andrew Burgess, MD, Carlyle Group, says: "In 2008, we were confident in the continued popular use of cash and subsequent increased global demand for efficient cash handling solutions by financial institutions, and are delighted to have delivered our value creation strategy for the company. Glory is an excellent strategic partner for Talaris and the proposed transaction is an exciting opportunity to ensure the business continues to maximise its full global potential."
Hirokazu Onoe, president, Glory, adds: "An acquisition of Talaris would provide GLORY with a global distribution and maintenance service network, the additional solution capabilities of Talaris Group, as well as an extensive customer base. Moreover, by combining GLORY's product development capabilities with Talaris' expertise, improved services for money handling solutions can be provided to our customers."