Hong-Kong based SML Group, an apparel and packaging firm, has taken over CGP Labels, RFID label maker in the US, with an aim to expand its tag production and R&D capabilities.
With the deal completed on 19 July 2012, CGP will now be reportedly able to access service bureau of the SML for RFID label commissioning, reported rfidjournal.com.
SML Group conducts development work at its Chinese site, a part of which will be now taken up by engineers from CGP.
SML Group expects to sell 200m RFID tags in 2012, while it is estimated that sales in 2013 would double.
CGP president Thomas Dew revealed the firm’s sales are almost equally divided between RFID and non-RFID labels, while the US market constitutes 75% of its customer base.
"The RFID part was what was growing fastest, and we needed to find someone with a like infrastructure. We needed someone like SML, with a global presence and the same products and services." added Dew.
SML Group global RFID vice president Philip Calderbank said the firm is enhancing its end-to-end RFID solution, ViziT.
"We’ve been on an expansion path with RFID since early 2011" added Calderbank.