Global Graphics, the UK-based software company for the graphic arts industry, listed on the European stock exchange, is to acquire Congra's sister company Hybrid Software.
The two groups are no strangers to each other: they both have the same chairman, Guido Van der Schueren. And he had already tried to merge the two graphic arts publishers.
In 2018, Hybrid Software had proposed to shareholders to acquire Global Graphics for approximately Euro 50 million. Some of the shareholders refused to accept the deal as they considered the amount too low, and Guido Van der Schueren only bought 50.9% of the share capital of Global Graphics. Will history repeat itself?
Guido Van der Schueren said today about the planned merger of the two companies of which he is chairman: "When I became president of Global Graphics in 2014, I quickly realized that the combination of Global Graphics and Hybrid Software would create the leading provider of enterprise software for digital printing, as well as for the traditional label and packaging market segments. This has been my goal ever since and I am proud to announce it to the industry today"
The consideration for this acquisition, the agreement of which will be submitted to shareholders on January 8, 2021, amounts to 80 million euros. After this merger, the group would have 250 employees.
Global Graphics, attracted by Hybrid Software's industry sectors, geographical presence and business models
Mike Rottenborn, Managing Director of Global Graphics, explains the benefits of the merger: "Although Global Graphics already supplies technology to the label and packaging market, we will be able to focus more on packaging as a result of this acquisition. (...) It also has a field presence in Europe, Asia and the Americas to facilitate sales to OEMs and end-users.
And we think the way we operate would benefit from introducing new models, including SaaS and subscriptions. These are business models that our current customers are asking for and that Hybrid Software is offering."
With 22.5 million euros in revenues in 2019, is a leading developer of integrated hardware and software solutions for graphic and industrial inkjet printing. Its customers include press manufacturers such as HP, Canon, Durst and Roland. Global Graphics, with the majority of its R&D team based in Cambridge, also has offices in Florida and Tokyo. Its subsidiaries are Global Graphics Software, a developer of printing software, Meteor Inkjet, which specializes in drive solutions for Meteor Inkjet industrial printheads, and Xitron, which specializes in prepress software.
Based in Luxembourg, Hybrid Software, whose main product lines are Cloudflow and Packz, has subsidiaries in Belgium, Germany, Italy, France and the United States and is active in all areas of prepress and printing, particularly in the label and packaging markets.
