Aylmer Express Graphics Group, headquartered in Aylmer, Ontario, has purchased Contact Creative Printing, a lithography shop, and Double Q Printing, a digital print shop.
Both London, Ontario, companies and their staff have been absorbed into existing production centres under the Aylmer Express Graphics Group, which includes Aylmer Express in Aylmer, Accell Graphics and Absolute Mail Solutions in London, Ontario, and Barney Printing in Woodstock. The company also operates a mail, data management and distribution centre called Westminster International in Toronto.
“No one else in the territory has our combination of capacity, versatility and expertise," said John Hueston, President of Aylmer Express. "We are now the largest general commercial printers in Southwestern Ontario and more importantly, unsurpassed for quality reproduction.
“We are extremely busy and will continue to grow organically and through acquisition," continued Hueston. "Our full-time staff, almost 100, far exceeds what my father and I set out to do when we accepted Prime Minister Pierre Trudeau’s challenge to create jobs 35 years ago. We have been very fortunate to have such fine colleagues who share our vision and their craftsmanship.”
The Contact Creative and Double Q acquisitions follow a 12-month capital investment in technology including a Heidelberg CD74 press, Heidelberg saddle stitcher and folder, Polar automated cutting system and large-format printing equipment.
The 137-year-old Express, owned since 1947 by the Hueston family, was also a Family Enterprise of the Year Award finalist at the Family Enterprise Exchange awards banquet on March 2, 2017.
PDQ Post’s President, Lorraine Duclos, takes on a new role as Senior Account Manager at Hemlock Harling. “At PDQ, we had great success with customers who focused on direct mail,” she said. “With Hemlock Harling, we can now offer all components of a direct mail campaign, for regional, national and international projects.”
Hemlock Harling was established in December 2016 as an equal partnership of Hemlock Printers, one of Canada’s leading printing companies based in Burnaby, BC, and Harling Direct, a prominent postal services and fulfillment provider with facilities in Montreal and Toronto. Hemlock Harling, officially opening its doors in February 2017, coinciding with its purchase of Kirk Marketing, a 60-year-old full-service print, mailing and fulfillment services company which held the organization’s current facility in Richmond.
“This acquisition is an exciting step for Hemlock Harling, helping put us on a solid path for success in the future,” said President Richard Kouwenhoven. “We are excited to have Lorraine join the organization as a professional and collaborative mailing specialist to our many stakeholders. She will also help welcome her existing customers to an expanded service offering which covers data, print, mail, warehousing and distribution services.”
Hemlock Harling is focused on providing data-driven marketing, postal and third-party distribution services to a clients throughout North America. “Lorraine has many years of experience in mailing and her postal knowledge of not only Canada Post, but also USPS and international postal administrations will serve our current and future clients well,” said Gordon Taschuk, General Manager of Hemlock Harling.
Danaher is the parent company of Esko (purchased in January 2011 for €350 million) and X-Rite (purchased in April 2012 for US$625 million), which also controls Pantone.
Danaher, based in Washington, is one of North America’s largest manufacturing conglomerates with annual sales of approximately US$17 billion.
Landa will progressively transfer the remaining development and engineering work to ALTANA’s ACTEGA Coatings & Sealants division, who will be bringing the Metallography technology to market in the coming years.
“We are excited about this acquisition, which opens up new growth opportunities for ALTANA and strengthens our position as a leading solution provider for the printing industry,” said Martin Babilas, CEO, ALTANA. “We are looking forward to our continued close and trustful cooperation with Landa as we prepare to bring this promising technology to market.”
The further development work, as well as sales and distribution, will be steered by ACTEGA Metal Print GmbH based in Lehrte near Hanover, Germany. Jan Franz Allerkamp, who has been with ALTANA since 2010, was named Managing Director of the newly formed ALTANA company.
“We are delighted that ALTANA has embraced our zero-waste Nano-Metallography technology, for there can be no better owner for this business than ALTANA,” said Benny Landa, Chairman of the Landa Group. “As an innovative partner of its customers ALTANA has a wealth of experience and know-how in graphic arts.” Landa continued to explain the sale will allow The Landa Group to focus on its Nanography technology.
DATA will acquire substantially all of the assets of Eclipse, through an asset purchase, for a net price of approximately $8.8 million. The company will acquire the common shares, through a share purchase, of Thistle for a net price of approximately $6.1 million.
Eclipse specializes in large-format and point-of-purchase printing with approximately 100 employees operating in an 80,000-square-foot facility. Upon completion of this transaction, DATA intends to relocate its current wide format capabilities from its Mississauga, Ontario, facility to Calgary, Alberta.
The Eclipse acquisition significantly expands DATA’s large- and grand-format printing capabilities. Eclipse focuses on providing in-store print, outdoor, transit, display, packaging, kitting and fulfillment services.
Eclipse generated approximately $21.3 million in revenues (unaudited) for the fiscal year ended November 30, 2016. DATA notes that over the past three years, Eclipse has experienced average revenue growth rates of approximately 10 percent per year.
“Ralph Misale, COO, and Grant Malcolm, CFO, the two principals of Eclipse, have built a tremendous business since they acquired Eclipse in 2010 by way of a management buyout,” said Michael Sifton, CEO of DATA. “We are excited to have Ralph, Grant and the entire Eclipse team join DATA.”
Thistle is a commercial printing company with approximately 65 employees operating in a 42,000-square-foot facility. This purchase will allow DATA to insource commercial printing capabilities which it has historically outsourced to local suppliers. The acquisition also adds expertise in design, prepress and bindery services to DATA's portfolio, and complements DATA’s current capabilities in direct mail, fulfillment and data management.
Thistle generated approximately $16.4 million in revenues (audited) for the fiscal year ended October 31, 2016. “Thistle's capabilities are highly complementary to our own,” said Sifton. “While we have the leading commercial print capabilities in Western Canada located in our Calgary, Alberta centre of excellence, DATA has not had meaningful commercial print capabilities in Eastern Canada, historically relying on third party production partners.
“We believe that the acquisition of Thistle will enable our sales force to capitalize on having a dedicated Eastern production facility, close to the important downtown Toronto market,” continued Sifton, “and we expect to be able to enhance our margins that we would otherwise have had to share with outsourced providers.”
DATA's net purchase price of approximately $8.8 million for the assets of Eclipse will include approximately: $2.9 million payable in cash on closing; $1.3 million through the issuance of 634,263 common shares of DATA; and $4.6 million in the form of a non-interest bearing vendor take back note, which will be payable in two equal installments on each of the first and second anniversaries of closing of the Eclipse transaction. The purchase price will be subject to certain closing adjustments relating to working capital.
DATA's net purchase price of Thistle for approximately $6.1 million will include approximately: $1.1 million payable in cash on closing; $1.5 million through the issuance of 644,445 common shares of DATA; and $3.5 million in the form of a non-interest bearing vendor take back note, to be payable over a 24 month period in equal monthly payments. The purchase price will be subject to certain closing adjustments relating to working capital.
In connection with the two acquisitions, DATA will assume a total of approximately $8.0 million in outstanding long term indebtedness, including capital lease obligations, and intends to draw approximately $7.8 million under its revolving credit facility on closing to refinance certain indebtedness of the two companies and for related transaction expenses.
DATA also announced it has arranged an increase in the total available commitment under its senior revolving credit facility with a Canadian chartered bank by $10 million to up to $35 million. The move provides DATA with a total borrowing base of up to $72 million from $50 million.
The ICON Visual division generates more than half of the parent company’s annual revenue, which in its most recent fiscal year amounted to just under $40 million, based on one of Canada’s most powerful large-format imaging infrastructures. ICON Visual, generating around 80 percent of its revenue through roll-fed Durst machines, traces its roots back to the company’s founding in 1995 as a pioneer in the display graphics sector.
ICON Media is responsible for managing national digital-signage networks for Blue Chip clients like Shoppers Drug Mart, as well as high-profile regional clients like Pearson Airport – way-finding screens – and Toronto’s Dundas Square. The division was established in 2009 after ICON purchased Gridcast and today works with clients to deploy signage networks with the ability to procure all of the necessary hardware, develop business plans and manage ever-changing content.
ICON Print is the third pillar of the company’s rebranding strategy, now focused on producing offset work in-house after it has been outsourcing such jobs for its client base. Last year alone, ICON oversaw the printing of more than 20-million direct-mail pieces in addition to a range of offset-produced marketing collateral. The company’s executive team spent the past several months looking at printing operations to purchase in the Greater Toronto Area.
With the acquisition of 25-year-old Toronto Trade, led by the printing expertise of President Kieron Pope and Vice President Steven Niles, ICON projects it will reach approximately $50 million in revenue by the end of its current fiscal year.
“We look at print not so much as old technology. We look at it as just another communications medium. In fact, our numbers tell us there is a lot of growth in print still,” says Juan Lau, President and CEO of ICON Digital, who co-founded the company in 1995 with business partners Peter Evans and Peter Yeung. “The last three or four years we kept looking at our financial statements and, ironically, the fastest growing service sector was commercial printing – and we were not even trying.”
Kieron Pope and Steven Niles are to remain in their leadership roles with the offset-printing operation. “This secures a bright future and legacy for our staff and customers and we couldn't be more excited to be part of a progressive organization like ICON,” said Pope, in a press release about the acquisition.
All of this equipment has now been integrated into Multi-Bookbinding's 57,000-square-foot plant in Shawinigan, Quebec, positioned in the middle of the main printing centres of Montreal, Quebec City, Beauce, Montmagny and Ottawa. Spiraplast’s client base consists of binderies, copy centres, printers, and professional offices throughout Quebec and Ontario.
“We’re proud with this addition to our services. There are only two other companies in Canada that produce spirals made from PVC particles,” said Yvon Sauvageau, President of Multi-Bookbinding. “Binderies are always under pressure to deliver in record time. Vertical integration is one solution, plus we create new jobs in our versatile team of 60 employees.”
Sauvageau has led Multi-Bookbinding as President since 2008, shortly after he and a group of associates began a process to acquire the company following the passing of its founder (1988), Suzanne Ferron. The company, with 60 employees, is known for being one of the largest case binderies in the country and also as a large producer of perfect binding, creating more than six million bound units a year.
The agreement includes the sale of Xerox’s FreeFlow Print Server (FFPS) DFE business to EFI. Under the terms of the deal, EFI will continue to produce and support FFPS to avoid interruptions for current software customers.
“Customers will gain a powerful solution with more efficiencies, performance and quality to meet the most demanding production requirements,” said Andrew Copley, President, Graphic Communications Solutions, Xerox.
Xerox functionality from FFPS is to be integrated with EFI’s Fiery product. The companies explain that EFI sales and technical field resources will work side-by-side with Xerox equipment sales reps, in regard to FFPS installations.
“This next step in our strategic alliance will give customers the industry’s highest performing DFE with unparalleled imaging and colour management,” said Guy Gecht, CEO of EFI. “EFI integration among the DFE, workflow software, and management information systems products deliver the higher levels of automation and productivity that are key to print businesses taking full advantage of the opportunities with digital printing.”
Xerox and EFI have a long-standing partnership in terms of integrating technologies. Most recently, Xerox collaborated with EFI to develop a new print server, the Xerox IJ Print Server powered by Fiery, to drive the recently introduced Xerox Trivor 2400 inkjet press. The DFE handles a range of data streams, while enabling integration, colour management and integration with existing workflows.
The next generation DFE coming from this new partnership will be integrated with EFI’s Productivity Suites, which includes management information systems like PACE, PrintSmith Vision, Monarch, and Radius ERP. Additionally, the DFE will integrate with Xerox FreeFlow Core and XMPie workflows, as well as third-party prepress software like Agfa Apogee, Heidelberg Prinect and Kodak Prinergy.
The agreement, explains the company, is for FFPS only and does not impact the Xerox workflow solutions that carry a FreeFlow sub-brand name (FreeFlow Core, FreeFlow VI Suite, FreeFlow Makeready and FreeFlow Digital Publisher).
Described by Hubergroup as an extremely fast-setting ink series, Mga Natura Is well suited for what the company labels as fast post-print processing. Hubergroup points to major market demands in the printing of food packaging like large-format prints produced at high speeds, cheaper substrate grades, and a great awareness for quality and safety that demand special printing-ink systems.
hubergroup is replacing its Natura Mga series with its latest Mga Natura series starting on February 1, 2017. The company explains the new series holds greatly improved in-press performance and it satisfies the requirements of the major food manufacturers. The company also notes the new ink has very good organoleptic properties, especially when fast post-print processing is required.
Natura Mga will be available as process inks, as spot inks in line with the classic colour guides and also as bespoke corporate design colours.
In July 2013, Ricoh made a strategic investment in Avanti as the MIS developer was preparing to launch its new generation Avanti Slingshot solution, which was released in the fall of that year at Graph Expo. One of the most-advanced MIS products in today's print market, Slingshot was built around a completely new coding infrastructure and the MIS sector’s highest level of JDF certification for automation.
Avanti’s Slingshot product, which can be cloud-based or hosted onsite, was in development for over three years before its launch, built from the ground-up to handle multiple lines of business, including large-format inkjet, toner and offset lithography, mailing and fulfillment workflows, as well as creative, marketing and data management services from one platform. The development of Avanti Slingshot was featured as the cover story of PrintAction’s August 2013 issue, The Slingshot Effect.)
“We are committed to continual portfolio advancements aimed at helping our customers grow their businesses and improve their efficiency,” said Jeff Paterra, Senior VP and GM, Technology & Solutions Development, Ricoh, about the Avanti acquisition. “We know that in order to achieve this, they need complete solutions which address their business needs. While our Ricoh Pro Series continues to grow market share globally thanks to its high quality and high productivity, customers look to Ricoh to resolve wider issues surrounding upstream and downstream systems. Our acquisition of Avanti helps us more effectively do just that.”
Previously, Ricoh acquired MarcomCentral (formerly known as PTI Marketing Technologies) in December 2014, a move to help build the company’s position in providing Web to print, marketing asset management, and variable data printing tools. With the addition of Avanti, Ricoh explains the acquisition of Avanti enables its software portfolio to cover the entire production workflow.
“Ricoh’s initial strategic investment in Avanti three years ago gave us an unparalleled opportunity to advance product development and further deliver innovative MIS solutions,” said Patrick Bolan, President of Avanti. “The acquisition by Ricoh sets the stage for Avanti to accelerate growth into the global marketplace.”
The Litho Chic acquisition compliments a year of capital-equipment investment by Deschamps. In May 2016, the printing company bought a new Xerox iGen5 press, as well as binding and finishing equipment for its Montreal plant.
In December 2016, Deschamps Impression expanded its Québec City facility by almost 5,000 square feet. In January 2017, the company is installing a brand new 5-colour Heidelberg CX-102 press in its’ Quebec City facility.
“Our first objective in buying this company is to increase our presence in the Québec market where we have been in business for more than 90 years,” said Jean Deschamps, President and Chief Operating Officer of Deschamps Impression.
Founded in 1987, Imprimerie Litho Chic specializes in commercial work with both offset and digital printing systems. Jean Bilodeau and Michel Leclerc of Litho Chic will continue to play key roles within the Deschamps Impression organization.
“The clients from both companies will be the first to benefit from this transaction as we will improve our turnaround time, our production capacity, and a wider variety of services provided,” said Jean Bilodeau.
On top of high-end commercial printing, Deschamps Impression focuses on providing clients with prepress services, security and digital printing, as well as pharmaceutical and cosmetic folding-carton and box printing, in addition to bindery and finishing services.
“This transaction is another transformative acquisition for CCL, propelling the Company to world leadership in the disruptive, fast growing polymer banknote market while strengthening our depth in the materials science arena with proprietary BOPP films technology for the label, packaging and security sectors,” said Geoffrey Martin, President and Chief Executive Officer of CCL. Martin continued to explain the Innovia acquisition is to be propelled by the company’s end-use facing businesses in CCL Label, CCL Design, Checkpoint and Avery.
“CCL’s 2017 pro-forma annual sales are forecast to exceed $5.0 billion post close,” said Martin. “The transaction will be financed from existing capacity in our revolving credit facility and a new US$450 million, two-year term loan provided by a syndicate of banks led by Bank of Montreal.”
For 2017, Innovia is expected to generate net revenue of approximately $570 million. Headquartered in Wigton in the U.K., Innovia is a global producer of multi-layer, surface-engineered BOPP films for label, packaging and security applications. The business has film extrusion, coating and metallizing facilities across the U.K., Belgium and Australia, as well as high security, specialized polymer banknote operations in the U.K., Australia and Mexico with 1,200 employees and sales offices in 16 countries around the world.
The venture is an equal partnership between Hemlock Printers and Harling Direct, a marketing-support company providing postal services and fulfillment from facilities in Montreal, QC, and Toronto, ON.
Operating from Kirk’s existing 40,000 square foot facility, Hemlock Harling will bring together a team of 40 staff members, who, in addition to serving its established customer base, will also support Hemlock Printers and Harling Direct clients – significantly expanding the capabilities of both partner organizations.
“We are very excited to launch this new company with our partners at Harling Direct. The management and distribution of our printed materials is fast becoming an integral part of our business, requiring a high level of expertise,” said Richard Kouwenhoven, President and COO, Hemlock. “Hemlock Harling will enable us to greatly expand this service area and will help us meet the changing needs of our customers in the years ahead.”
Harling’s President, Randy Yates, added: “Harling has been actively looking to the Western Canadian Market to offer customers complete distribution coverage from coast to coast, and when the opportunity arose to partner with an established company like Hemlock Printers, we didn’t hesitate.
Harling is not new to this type of business venture, having successfully partnered with the PDI Group of Montreal since 2007,” continued Yates. “Our mutual clients have benefitted from a powerful integration of print, mail, warehousing and distribution services which is a model we are looking forward to growing in the West. Our acquisition of Kirk Marketing provides an ideal springboard for this new venture.”
Gordon Taschuk, President and CEO of Kirk Marketing, is to become General Manager of the new Hemlock Harling operation. “I’m looking forward [to] working with two of the most respected companies in the industry, leveraging our combined strength to the benefit of our customers and staff,” said Taschuk.
Founded in 1968, Hemlock Printers is today seen as the largest full-service commercial printing company in Western Canada. Hemlock’s production facilities in Burnaby operate 100 percent carbon neutral and the company has sales offices in Victoria, Seattle and San Francisco.
Founded in 1959, Harling specializes in direct mail and third party fulfillment logistics. It provides services in both of Canada’s official languages, preparing distributions to destinations across North America and internationally.
Under the terms of the agreement, Cimpress will acquire 100 percent of the outstanding equity interests of National Pen for a purchase price of approximately US$218 million ($286.5 million Canadian). Consideration at closing for the transaction will be in cash, using Cimpress' existing credit facility. Based on Cimpress estimates made during due diligence, National Pen's revenue is expected to be approximately US$275 million ($361 million Canadian )in calendar year 2016.
“Just like business cards, custom pens are a simple yet highly effective way for small business owners to market their companies,” said Robert Keane, CEO of Cimpress. “National Pen has tremendous mass customization and related supply chain capabilities with which they deliver an unrivaled breadth and depth of customizable writing instruments with low minimum order quantities that meet the low-volume needs of small businesses.”
National Pen is to complement the organic investment Cimpress has already made in its technology and supply chain capabilities for promotional products, apparel and gifts (PPAG) offerings. Cimpress explains it has made significant investments to reduce the minimum order quantity required for custom promotional products and business apparel. These have automated many of the graphic processing steps of the value chain so as to reduce per-order setup costs and developed more intuitive self-service, browser-based design tools.
“National Pen is a clear leader in one of the key promotional product segments and has excellent manufacturing and supply chain capabilities, which we do not have today,” said Keane. “By combining the company's capabilities and expertise with those of Cimpress, we are confident we can help to grow both National Pen and the promotional products offering of our existing portfolio of brands.”
Keane continued to explain National Pen has meaningful scale-based sourcing and production advantages, as well as strong competencies in direct marketing, telesales and data analytics. As part of Cimpress, National Pen will continue to go to market as it does today, through its primary sales channel which is a combination of direct mail and telesales. Additionally, Cimpress expects further develop National Pen’s e-commerce presence and to introduce the National Pen product range into its Vistaprint and Upload and Print e-commerce brands.
Founded in 1966, National Pen provides personalized marketing solutions to more than one million small- and medium-sized businesses globally. The company is headquartered in San Diego, California, with additional locations in the United States, Mexico, Ireland, and France.
Kayjon's facilities will be moved to the Paragraph facility located in a borough of Saint-Laurent. With the joining of Paragraph and Kayjon, more than 175 employees will be brought together and the company has combined sales targets of $26 million.
For more than 25 years, Paragraph has been developing customized, innovative solutions for printing, document management and integrated digital media for its customers. His knowledge and expertise in these fields have made Paragraph one of the most recognized companies in the industry. Today, it relies on its know-how and vision to position itself as a leader in this industry that is undergoing a profound transition.
On news of the acquisition, Martin Lépine, President of Paragraph, said: “Through acquisitions and R&D, we are able to redefine the possibilities of the world of graphic communications and marketing services… The status quo is no longer an option in our industry and we are embarking on this new turn by combining the ultimate in printing technology with the power of new media to better ensure our growth. This will enable our customers to optimize the efficiency and performance of their communications, whether printed or digital.”
Founded in 1979, Kayjon is one of the best know commercial printers in Quebec, focused on providing high-quality, sheetfed printing, as well as a range of related services like prepress, digital printing, cutting and finishing. “It was clear that our two companies, resolutely focused on quality and customer service, are joining forces to offer a diverse range of products,” said Derek James, President of Kayjon. “With the expertise of our employees who complement each other admirably, we will continue to build strong, long-term business relationships, as we have been doing since our early days.”
James continues to explain that the combined company will now be able to offer a turnkey service to customers, including: graphic design services, integrated marketing and communications services, premium printing (conventional, digital and large format), POS advertising, distribution and advertising.
“We are truly enthusiastic to be able to honour the continuity of what is the DNA of this beautiful organization that is Kayjon,” said Lépine. “Together, I am confident that we will have the ability to offer our clients a range of services that combine a high level of know-how with the strength of new media. This alliance marks the beginning of a new era in our field, and our customers will be the first to benefit from it.”
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Ryerson GCM Job FairThu Mar 23, 2017 @ 4:00PM -
GMG Color Flexo Best-in-Class Workshop Wed Mar 29, 2017 @ 9:00AM - 02:30PM
Graphics Canada 2017Thu Apr 06, 2017
Inkjet SummitMon Apr 24, 2017
FTA 2017 INFO*FLEXSun Apr 30, 2017
EskoWorld 2017Tue May 09, 2017