Annodata is increasing its share of the managed print market with the news today is has acquired specialist print services provider STS.
Based in Wetherby in West Yorkshire, STS counts a number of high profile names amongst its customers, including William Hill, the Manchester Evening News and the Yorkshire Post. It specialises in wide format specialised printing, filling a gap in Annodata’s portfolio.
Annodata says it expects the additional turnover from the deal – which was funded entirely by its cash reserves –to reap £3m per annum and, once STS is incorporated into the business, annual revenues in excess of £80m.
“STS has an impressive portfolio of longstanding customers including national and local newspaper groups and, much like Annodata, is particularly strong in the housing association market,” says Annodata chairman Martin St. Quinton.
“Vendor agnostic and with a strong, profitable business model, STS is a great fit for Annodata. Annodata has a rich history dating back to 1988 and is now one of the largest B2B providers in our space in the UK. We’ve grown steadily over this time, never incurring any debt and maintaining healthy balance sheets.”
The two businesses will be integrated in full, with Annodata’s Leeds office set to be relocated to STS’ offices in Wetherby. It says STS’ existing staff, including managing director, Peter Langstaff, will continue to play a central role in the new business.
“Becoming part of the Annodata Group is good news for our staff and, importantly, for our customers, who will benefit from the additional resources and capabilities that a company of Annodata’s size and breadth can offer,” comments Langstaff.
“In addition, it means that suppliers will have the opportunity to pitch for a larger amount of expenditure by Annodata, given the increased revenues. Annodata has a long history of making acquisitions, so I have every confidence that the integration of STS will be smooth and look forward to working closely with the team to move the business forward.”
St. Quinton maintains there will be further acquisitions over the next 12 months, like last year’s Keltec deal, where it expands its product portfolio, and tuck-in acquisitions like STS.
Earlier this month Annodata reported a successful year of trading in which profits reached £5.2m – a 682 percent increase and a record year for the company.
