Authentix adds to covert marker range with Traceless buy

Anticounterfeiting specialist Authentix is expanding into new technologies, industries and geographies with its acquisition of Traceless from library services group Biblioteca.

At a stroke, the deal will increase Authentix’ market share in pharmaceuticals, spirits, and the personal apparel market, whilst also providing “an opportunity for significant expansion into Asia,” according to Authentix chief executive Kevin McKenna.

He told SecuringIndustry.com that the deal “increases our capacity for unique customer and product codes used in covert marking applications...and also brings an expanded selection of portable field inspection devices used for instant authentication of products in the field, including digital smart phone-based applications.”

The acquisition covers Traceless’ entire portfolio of patented covert marking solutions, as well as its enterprise cloud-based digital track and trace software called Brand Protection Cloud.

The latter is used by both client inspectors and consumers to test the authenticity of products using smart phones while also providing a platform for consumer marketing and engagement.

“We see tremendous opportunity with this solution and the ability to serve our existing and growing customer base across multiple industries including pharmaceuticals, spirits, apparel, and other fast-moving consumer goods (FMCG),” said McKenna.

Rochester, New York-based Traceless marker technologies include Anti-Diversion, which includes a covert security ink that produces a machine-readable code unique at the item level.

It is applied via continuous ink jet (CIJ) printing – certified by Domino – and according to McKenna “expands Authentix’ flexibility of delivering unit-level ID solutions to our customers.”

Meanwhile, Traceless Ultra and Pro ranges are a series of proprietary, covert markers that can be integrated into a wide range of materials – varnishes, inks, foils, threads, plastic, for example.

McKenna said that combining them with Authentix current range of marking solutions “increases our capacity for unique customer and product codes used in covert marking applications.”

The terms of the deal haven’t been disclosed, but Authentix has confirmed that the existing Traceless team remains in Rochester, and work is underway to integrate sales and marketing by year-end. That will be followed by more operational integration in the first half of 2021.

“Traceless will integrate with Authentix and become part of our aggressive growth strategy, providing us with new marquee customers in targeted markets, as well as expanded offerings for penetration into new verticals.” McKenna told us.

“This will further enable us to offer expanded solution options to help our customers succeed in protecting their brands in today’s chaotic supply chains.”

It’s the second acquisition for Authentix in two years. In 2019, the company’s UK subsidiary bought Security Print Solutions (SPS), adding high security printing to expand its presence in tax stamps and add to its security technology offering.