Positive ID Labels are proud to announce the acquisition of not one, but two label printing companies this week! In a unique set of events, Positive ID Labels has made 2 UK label manufacturing company acquisitions that have been the target of our acquisition policy for some time.
Positive ID Labels have acquired:
Both companies operate in the region of £100k in sales per year so these UK label manufacturing company acquisitions will increase Positive ID Labels’ turnover by around 10%, taking us to £2.2 million.
Banbury labels have been operating for just under 16 years under the ownership of Garnet Thomas and Santi Perez. For personal reasons, the directors had chosen to take a change of direction from label printing and move onto other projects. They placed the company on the market with an agent in March this year and the opportunity was found as part of the company’s normal research. Only Santi and Garnet worked for the company and there will be no forced redundancies.
The company operates a three head Newfoil hot foiling press that will add to Positive ID’s capabilities, diversifying our product range. This equipment is particularly good for high-end labels and allows us to venture into the premium label market for the likes of spirit labels and wine labels.
The circumstances surrounding Dabbon Labels are not such easy reading. Managing Director John Mayers had been trying to purchase Dabbon Labels for a couple of years. Owner, Barry Jones and John had been discussing this potential deal for several months. A deal was struck around Christmas 2018 but Barrie changed his mind at the last minute and the deal fell through.
Since then, it became apparent that Barrie was suffering from ill health and he returned to John to re-open talks. These discussions moved swiftly but unfortunately, Barrie succumbed to his illness before the deal could be finished. As part of his planning, Barrie had appointed his sister as a Director of the company and she was able to conclude the sale without much delay.
The company operates a Lintec and Aldo Berra flexo press. There is a range of other equipment that will transfer to Positive ID Labels to upgrade existing equipment and capability.
Positive ID Labels will now absorb the smaller companies and centralise production into the Melbourne based factories. Initial indications are that the one employee of Dabbon Labels does not want to work at Positive ID Labels due to the distance from their home, although their job has been safeguarded for them. To that end, Positive ID Labels are now seeking at least one trainee printer to start immediately.
Positive ID Labels have acquired a number of printing companies over the last decade or so. Some small and some larger. We have built some experience in merging operations of the companies into our own. We have also gained good experience with taking on a new client base and ensuring their concerns or questions regarding the acquisitions are put at ease.
Commenting on the acquisitions, John Mayers said:
These acquisitions make a valuable addition to our company. Between the addition of machinery, equipment and the sales books for each company, this stands Positive ID Labels in good stead for continued growth.
We look forward to developing a new relationship with the established customer bases of these companies and offering more services to them than was available from their previous suppliers. Our sales team will as usual go the extra mile to provide the best possible service and value to them all.
It is tragic that Barrie’s illness got the better of him so quickly and our thoughts are with his family and friends. I had become quite fond of him despite the initial purchase falling through. He built a solid company and it is a privilege that we will be able to support his customers going forward.
Positive ID Labels remain interested in company acquisitions. If you are interested in selling your label printing company, contact John Mayers in the first instance by filling in the form below.