Brady plans to acquire Gravotech for EUR 123M

Brady Corporation has entered into exclusive negotiations to acquire Gravotech Holding for approximately EUR 123M. Brady expects to fund the transaction with cash on hand as well as with borrowings on its existing credit agreement, and expects to close the transaction by the end of its fiscal year ending July 31, 2024, subject to prior completion of the information-consultation processes under French law and closing conditions, including regulatory clearances. Gravotech, with sales of EUR 112M in the year ending December 31, 2023, is a leader in specialized marking and engraving solutions intended for a variety of industries and applications. Gravotech was founded in 1938 and is headquartered in Lyon, France. Gravotech is a leader in the design, manufacture and distribution of innovative solutions for specialized engraving, marking and cutting, offering laser, mechanical engraving, scribing and dot peen capabilities. It manufactures machines and consumables and develops CAD software, and has an international presence in the U.S., Latin America, Europe and Asia-Pacific. Brady is a leader in high-performance industrial printers and adhesive materials, and the acquisition of Gravotech will add specialized direct part marking and engraving capabilities to Brady’s extensive product identification offering. Excluding acquisition-related costs, Brady expects this acquisition to be immaterial to earnings per diluted share for the remainder of the fiscal year ending July 31, 2024.