DELUXE CORP 8-K

What Happened
Deluxe Corporation (DLX) announced on February 10, 2026 that it and certain subsidiaries entered an Asset Purchase Agreement to sell specified assets of its business conducted under the “Safeguard” and “Safeguard Business Systems” brands to PFG-SG Operating Group LLC (with PFG Ventures, L.P. as parent guarantor). The transaction is expected to close in the first quarter of 2026, subject to customary closing conditions and the parties entering related transition services and ancillary agreements.

Key Details

• Purchase price: approximately $25 million total — $12 million paid at closing; the remaining $13 million paid in three equal annual installments after closing.
• Closing/timing: Agreement dated Feb 10, 2026; expected to close in Q1 2026; parties may terminate if certain conditions are not met by April 30, 2026 (subject to fault exceptions).
• Covenants: Seller entities must run the business in the ordinary course until closing and are subject to three-year non‑competition and non‑solicitation covenants post-closing.
• Protections: Customary representations, warranties, indemnities and a parent guaranty by PFG Ventures, L.P.; transition services and other ancillary agreements to be executed at closing.

Why It Matters
This is a divestiture of Deluxe’s Safeguard business that will generate roughly $25M in proceeds and shift related assets, liabilities, and operations to PFG. For investors, the deal affects Deluxe’s business mix and future revenue tied to the Safeguard operations, while providing near-term cash inflow and defined transition arrangements. The closing is subject to customary conditions and risks noted in the filing, so timing and final impact depend on satisfying those conditions.