Manufacturing conglomerate Dover announced Jan. 6 that it will acquire Sys-Tech Solutions, Inc., a provider of software and solutions for product traceability, regulatory compliance, and brand protection.
Doing business as Systech International, the company will become part of the Markem-Imaje business unit, which operates as a global supplier of product identification and traceability solutions in Dover’s Imaging and Identification segment.
Terms of the deal, expected to close in the first quarter of 2020, were not disclosed.
Princeton, New Jersey-based Systech has approximately 170 employees worldwide and serves global pharmaceutical and FMCG manufacturers. The company offers an integrated Brand Protection Suite for compliance and brand protection applications, including serialization, traceability, anti-counterfeiting, and anti-diversion solutions, which help pharmaceutical and FMCG manufacturers to meet evolving product traceability regulations and growing consumer demand for product safety, security, and authenticity. “Systech’s proprietary and innovative e-Fingerprint technology is a unique non-additive product authentication solution that offers superior levels of protection with lower complexity and cost,” says the company.
Dover said the acquisition will enhance Markem-Imaje’s portfolio of product identification and traceability solutions with complementary and highly-demanded software and service offerings catering to a large and growing global brand protection market, adding that Systech’s cloud-based software solutions will bring recurring software and service revenue to Markem-Imaje’s business mix.
“The combination of Systech and Markem-Imaje’s software and service offerings will provide a scaled-up software and service organization that will drive growth and efficiency by cross-leveraging each company’s respective channels and global service infrastructure,” Dover stated.
"Systech brings a long and successful history of innovation to deliver world-leading solutions to protect brands and products over the past 35 years,” said Richard Tobin, Dover’s president and CEO. "We are excited to bring together Systech’s innovative software solutions and Markem-Imaje’s scale, global reach, and service excellence capability to build a market leader in the brand protection market. This transaction is another building block in Dover’s capital deployment strategy that emphasizes investments in attractive close-to-core markets that offer potential for sustainable, profitable growth, and where our team can create value for our shareholders.”