HID Global's parent company ASSA ABLOY has announced that it signed an agreement to purchase California-based LaserCard Corporation, a provider of secure identity credentials. The purchase price is approximately $80 million, and the acquisition is expected to close in the first quarter of 2011.
LaserCard employees 182 people and saw revenues of $59 million in its most recent completed fiscal year.
The purchase would give HID Global additional depth in the government sector. LaserCard's solutions include not only traditional physical (door) access solutions, but also solutions for national ID cards, drivers' licenses, passports and even vehicle registration. Earlier this month, LaserCard announced that it would be supplying credentials for Saudi Arabia's national ID card program, and the company has already been working with other nations, including Italy and Costa Rica for identity cards.
"The LaserCard organization brings incremental skills and core technical competencies that will augment HID Global's secure identity strategy," said HID Global president and CEO Denis Hébert. "It will widen the breadth of our e-government business with a unique selection of products, technologies and a range of service capabilities that are highly synergistic with HID Global's current offerings."
Robert DeVincenzi, president and CEO of LaserCard, said the merger with HID Global would increase "the capability and value LaserCard represents to our partners and customers in the government issued ID sector, with compelling opportunities to leverage HID Global's market momentum and global coverage and for future diversification and growth."
The terms of the acquisition by ASSA ABLOY were approved unanimously by LaserCard's board of directors, and the acquisition includes LaserCard's German subsidiary, Challenge Card Design Plastikkarten GmbH (CCD), which produces specialty cards and additionally provides card personalization and ID management solutions.