SYDNEY: Codeifai Limited (ASX: CDE), a pioneer in AI-driven QR code and brand protection solutions, announced Wednesday it has entered a binding agreement to acquire its competitor, Trust Codes Global Limited, in a deal poised to reshape the digital traceability industry.
The acquisition, described as a “watershed moment” by Codeifai executives, combines two leaders in AI-powered product authentication and supply chain transparency. Trust Codes, founded in 2013, specializes in item-level traceability, providing “digital license plates” for products across pharmaceuticals, agriculture and consumer goods. Its clients include Blackmores, Bubs Australia, the New Zealand Government’s Ferrmark program and U.S.-based Honeywell.
Strategic Synergies and Market Expansion
The deal accelerates Codeifai’s push to dominate the emerging 2D barcode market ahead of “Sunrise 2027,” a global shift from traditional 1D barcodes to QR-enabled packaging. Analysts estimate the fast-moving consumer goods (FMCG) packaging market will grow to $1.4 trillion by 2033, with digitized traceability driving much of that expansion.
“Trust Codes’ technology perfectly complements our AI-driven platform,” said Codeifai Executive Chairman John Houston. “Together, we’ll offer brands unmatched tools to combat counterfeiting, enhance sustainability and engage consumers through every scan.”
Key benefits of the acquisition include:
- Expanded global footprint with immediate access to Trust Codes’ clients in Australia, New Zealand, the U.S. and Europe.
- Integrated AI and machine learning for real-time fraud detection and supply chain analytics.
- Revenue synergies through cross-selling opportunities, including Codeifai’s ConnectQR and Trust Codes’ serialization tools.
Deal Terms and Leadership Transition
Under the Share Purchase Agreement, Codeifai will issue 50 million shares (valued at $0.01 per share) and pay $150,000 AUD in cash to Trust Codes’ sole shareholder, Paul Ryan. The transaction requires shareholder approval and is expected to close by Sept. 16, 2025, pending regulatory clearances.
Ryan, Trust Codes’ founder and CEO, will join Codeifai’s senior management team to lead serialization and innovation. A joint integration plan will merge the companies’ platforms, including their analytics dashboards and traceability engines.
Industry Tailwinds
The merger arrives as regulators and retailers push for greater supply chain transparency. Trust Codes’ work with Australia’s Mildura Fruit Company — where QR codes verify produce authenticity — exemplifies the technology’s role in building consumer trust.
“Every product will soon carry a QR code,” Houston said. “This acquisition positions Codeifai to define that future.”