Colour measurement technology developer X-Rite is to be acquired by Danaher, it has been announced. X-Rite includes Pantone, and will form part of Danaher's Product Identification group following the closure of the deal.

Danaher, which owns EskoArtwork and industrial printing systems company VideoJet, has entered into a definitive merger agreement whereby it will make a cash tender offer to acquire all outstanding shares of common stock of X-Rite at the purchase price of $5.55 (￡3.48) per share. This equates to an approximate enterprise value of $625m (￡392m) including debt assumed and net of cash acquired.

"We are excited about the opportunity to acquire two premier brands in X-Rite and Pantone," says William K Daniel II, executive vice-president, Danaher. "Colour measurement is an attractive market adjacency to our existing Product Identification businesses.

"X-Rite's colour measurement technologies complement Esko's digital packaging design capabilities to provide customers with a full range of solutions to meet their packaging and design needs. Along with Videojet and Esko, we believe X-Rite and Pantone will further Danaher's leading position in the product identification industry and present an attractive value creation opportunity."