Bucharest, March 27, 2025. Smart ID Technology, with the support of the SARMIS Capital investment fund, announces the signing of an agreement to acquire a majority stake in AB Systems SRL, a leader in the production of durable barcode labels and RFID smart labels for the automotive, logistics and retail industries. This is the third transaction made by Smart ID, following the acquisition announced in December 2024 of Total Technologies, one of the most important Honeywell technology integrators for industrial automation in Central and Eastern Europe and which has the only Honeywell Center of Excellence in the region, and the Romanian leader in ERP software, Sceptrum, in 2022.

The transaction highlights the strong complementarity between the two companies in the field of automated solutions. By integrating AB Systems into its portfolio, Smart ID strengthens its ability to offer complete solutions to customers in sectors such as manufacturing, logistics, retail and the automotive industry. AB Systems’ RFID expertise will be integrated into Smart ID platforms and solutions, opening up new development opportunities and accelerating innovation in growing market segments.

“The decision to join Smart ID is a natural step in the evolution of AB Systems. We are proud of what we have built over 20 years, and this partnership will allow us to take our vision to the next level. Together we will be able to develop complete RFID solutions, offering our customers increased benefits through efficiency, traceability and state-of-the-art automation,” said Daniel Andraș, CEO and founder of AB Systems.

“We are delighted to welcome the AB Systems team to the Smart ID group. Their high level of expertise in RFID technology and durable barcode label solutions ideally complement our portfolio for business process automation. By joining forces, we will be able to offer customers integrated end-to-end solutions – from smart or durable labels to software platforms, automation solutions and scanning equipment – ​​optimizing operations and preparing companies for the future. This acquisition aligns with our strategy to become a regional leader in providing innovative technological solutions for industry, logistics and retail. At the same time, we want to expand by offering complete solutions to AB Systems’ customers internationally, in countries on five continents”, emphasized Daniel Boangiu, CEO and founder of Smart ID Technology.

“The investment in AB Systems, together with Smart ID, represents a strategic step in building a regional champion in the field of automation, identification and automatic data capture solutions. We see clear synergies between AB Systems and Smart ID, which together will offer a unique portfolio in the region and we are happy to have Daniel Andraș and his team alongside us in this new stage, contributing with their experience and vision to the accelerated development of the group. Being the third acquisition made together with Smart ID, after Total Technologies and Sceptrum, SARMIS Capital reaffirms its commitment to supporting the growth of the companies in our portfolio, both organically and through M&A, providing the necessary know-how and financial resources.”, stated Mădălina Georgescu, Investment Manager at SARMIS Capital.

The completion of the transaction is subject to the approval of the Competition Council.

Smart ID Technology was assisted by a multidisciplinary team, led by Georgiana Singurel (Partner), Ștefan Cărămidă (Senior Managing Associate) and Elena Costescu (Senior Associate) from Reff și Asociații on legal aspects; Ruxandra Pietreanu, Managing Partner Path2Capital on strategic aspects; Luisiana Dobrinescu (Managing Partner) and Andrada Pleș (Partner) from Dobrinescu Dobrev on tax aspects and Daniela Buhuș, Managing Partner TS Partners on financial aspects. The AB Systems sellers were assisted by a team led by Florin Cerna from BrinkThink Management, as financial and M&A consultant. Legal assistance was provided to the sellers by a team of lawyers led by Ștefan Mantea (Partner) and Larisa Jurca (Senior Associate), from Băncilă, Diaconu și Asociații SPRL.

Smart ID Technology provides its own, customized and complete process automation solutions for companies with intensive work environments, with the aim of optimizing costs and increasing productivity. The critical business solutions address the entire logistics chain, starting from solution design, development and implementation to post-implementation services, maintenance and support. Accumulating over 12 years of experience in developing automation and mobility solutions, Smart ID has quickly become a recognized leader in the IT field on the local market and the most important supplier and integrator of

revolutionary technologies and mobile equipment, automation and robotics for the main industries.

AB Systems is a Romanian entrepreneurial company founded in 2000, with over 20 years of experience in the RFID ecosystem. Specialized in the production of labels and automatic identification solutions (based on RFID and barcodes), AB Systems provides customized services and products for world-class clients in industries such as automotive and retail. The company is headquartered in Cluj County and collaborates with global technology partners such as Avery Dennison and Keonn, contributing to the industry’s transition from classic to next-generation labeling solutions.

SARMIS Capital is an independent private equity fund established in 2019, focused on investments in Central and Eastern Europe. It is the largest fund of its kind raised in Romania by an indigenous team. SARMIS brings not only financial capital to the invested companies, but also strategic, operational and consolidation expertise. SARMIS Capital's portfolio includes, in addition to Smart ID Technology, MG-Tec Industry, BMF Grup and Corporate Office Solutions.

For more information, visit the companies' websites:

Smart ID Technology (https://www.smartid.ro/), AB Systems (https://absystems.ro/), SARMIS Capital (https://www.sarmiscapital.com).

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SARMIS Capital's first investment fund is partially financed by JEREMIE Holding Fund Romania, an investment program between the EIF and the Government of Romania through which the EIF is active on behalf of and for the benefit of the Government of Romania, investing funds generated from operations carried out within the JEREMIE Holding Fund Romania during the eligibility period 2007-2013. It also benefits from the financial support of the European Union under the Equity Facility for Growth, established by Regulation (EU) No. 1287/2013 of the European Union and of the Council establishing the Programme for the Promotion of Small and Medium-sized Enterprises (COSME) (2014-2020).