Log In | Become a Member | Contact Us


Market Intelligence for Printing and Publishing

Connect on Twitter | Facebook | LinkedIn

Featured:     Production Inkjet Tools & Resources     Industrial Print Analysis     European Coverage     Conversations on Print Podcast

Jim Russell with New Direction Partners on the benefits of the company doing a "tuck in" acquisition

Published on March 15, 2010

I'm Jim Russell, a partner with New Direction Partners and I wanted to talk today a little bit about the benefits that accrue to the person that's doing the talking or the company doing the talking.  We recently closed a deal, two similar sized companies that came together; first and foremost, a lot of people always realize their savings in space.  These two companies were able to combine into about 60 percent of the space that they were in as separate companies, so they had immediate savings in rent.  In addition, they went through and kept the best of the employees that they had between the two companies.  Were able to kind of cherry pick who was the best leaders, the best managers among the companies, who were the best pressman, the best pre-press operators.

In addition, they did similar with the equipment: they kept the best equipment and were able to sell off the excess equipment to generate cash and pay down debt.

From the buyer’s perspective, he was able to do this deal with no cash at closing.  So it worked out very well.  Grew their sales about 40 percent and were very profitable from the second month after the merger was completed.

Email Icon Email         

 

 

 

Recent Videos

 

Video preview: John Mashia President and COO at IMS Direct talks about Toner to Inkjet Transition

John Mashia President and COO at IMS Direct talks about Toner to Inkjet Transition

Published: October 24, 2017

IMS Direct a provider of critical communications has started to transition from toner to production inkjet with an investment in the Canon Océ i300 sheetfed device. Productivity and uptime is critical factor to meet customer delivery schedules.

 

Video preview: Frank Talks to Shaw Carpeting about Label Printing on the Konica KM-1

Frank Talks to Shaw Carpeting about Label Printing on the Konica KM-1

Published: October 20, 2017

Dwight Blackwell of Shaw Carpeting in Georgia just installed a Konica KM-1 to print labels that are glued to the back of carpeting. The Konica KM-1 prints 6 pages on one sheet and Shaw will replace a number of smaller printers with this new unit.

 

Video preview: PGSF Scholarship Recipient Colby Kibbe Talks About Finding a Career in the Industry

PGSF Scholarship Recipient Colby Kibbe Talks About Finding a Career in the Industry

Published: October 19, 2017

Colby Kibbe a PGSF scholarship recipient and now a Project Manager at EFI talks about what drew him to the industry. Scholarship and internship programs influenced his interest and growth in the industry.

 

Video preview: Bookmasters Turns to Digital and Production Inkjet for Its Book Printing Ops

Bookmasters Turns to Digital and Production Inkjet for Its Book Printing Ops

Published: October 18, 2017

Ken Fultz General Manager at Bookmasters talks about how production inkjet printing is changing book production. Bookmasters has gone through three transitions offset to digital toner to production inkjet. Hear their story.

 

Video preview: Professor Erica Walker on Guiding Students into Careers in Print

Professor Erica Walker on Guiding Students into Careers in Print

Published: October 17, 2017

Dr. Erica Walker an Assistant Professor in the Department of Graphic Communications at Clemson University talks about attracting students to the industry and helping them match career goals with different training and education levels.

 

Video preview:

"Have You Heard the Cover"

Published: October 16, 2017

Dr. Joe Webb and Richard Romano talk about the production of a special edition of their new book The Third Wave that included interactive print elements.

 

View More Videos

 

Become a Member

Join the thousands of printing executives who are already part of the WhatTheyThink Community.

Copyright © 2017 WhatTheyThink. All Rights Reserved