Veralto Corporation (NYSE: VLTO) (the “Company”), a global leader in essential water and product quality solutions dedicated to Safeguarding the World’s Most Vital Resources™, announced that it has acquired the holding company that owns TraceGains.

TraceGains is complementary to the Company’s Product Quality and Innovation (“PQI”) segment, specifically, its Esko-branded digital workflow solutions for packaging. Synergies with Esko’s global customer base, direct sales channel, and the application of the Veralto Enterprise System represent key value creation levers the Company believes will accelerate TraceGains’ growth, expand its market presence, and improve its operating efficiency. 

Aligned commitment to safeguard water, food, and essential goods

“We believe the transition to digital workflow solutions in the food and beverage industry is poised for strong growth over the next decade. The acquisition of TraceGains, in combination with our Esko business, strategically expands our digital offering and provides us the opportunity to deliver greater value to consumer brands as they digitize critical workflows with connected data across new product development, compliance and packaging,” said Jennifer L. Honeycutt, Veralto’s President and Chief Executive Officer.  “TraceGains’ purpose-built solutions, focused on increasing food safety, are complementary to our PQI product portfolio and squarely aligned with our purpose — Safeguarding the World’s Most Vital Resources™.  And with a high level of recurring revenue, robust core sales growth and attractive gross margins, TraceGains strengthens the financial profile of our PQI segment. We are excited to welcome TraceGains associates to Veralto.”

TraceGains’ Chief Executive Officer, Gary Nowacki, said “We are proud of the networked ecosystem TraceGains has built for the food and beverage industry and the tremendous growth we have delivered.  Joining Veralto enhances our ability to support customers as we look to expand industry use of our digital solutions that help consumer brands track ingredient inputs for food safety, compliance and new product development.”