In This Article:
De La Rue (DLAR.L), the company which prints UK banknotes, said a £300 million sale of its authentication arm will go through next month.
The company said it has agreed a deal with US-listed group Crane NXT (CXT), which will complete on May 1.
De La Rue has been struggling with a downturn in demand for cash since the pandemic, and in July last year it cautioned over its ability to continue as a going concern because of the payment of a loan due in July 2025.
The deal with Crane NXT will allow it to repay the loan in full, while also helping reduce the funding deficit on its former defined benefit pension scheme, according to De La Rue.
The deal was first announced in October, and marks the first of two potential sales by the printing giant.
The Basingstoke, Hampshire-based group, which prints banknotes for the Bank of England and other central banks across the world, has also held talks on the possible sale of the currency division.
In an announcement to the stock market on Monday, De La Rue said it “continues to be in discussions that may or may not result in possible cash offers for the company”.
“A further announcement will be made as and when appropriate.”