East Sussex Press Limited
1�Dec�2004
Printing Firms Merge
The deal
A printing company with a �13 million turnover has been created after a brother and sister team bought a local rival.
East Sussex Press (ESP), led by Mark Handford and Bridget Massey, has acquired Beacon Press for an undisclosed sum.
Beacon was sold by Mark and Wendy Fairbrass, who established the business in 1974, and have decided to retire from the industry.
Following the transaction both companies will continue to trade under their existing brands, run from their respective sites and retaining all employees.
The players
Handford told reporters: "We feel sure this merger, bringing together the resources of two neighbouring successful companies at a time when the industry is under great economic pressure, will bring huge commercial benefits and an assured future for Beacon and its graphic design wing Beacon Creative."
He added that ESP would now raise new finance to buy new pre-press, printing and finishing equipment, to be used by the combined group.
The funder
The deal was funded by Barclays following an introduction to the directors of East Sussex Press by Simmons Gainsford LLP, which has worked with the bank for 35 years.
Barclays' team was led by relationship director Mike Humphries, who said the deal was already in its final stages when the bank was approached to provide finance because its existing bankers were struggling to put the deal together.
"Any corporate acquisition can be complex, this one was no exception. However as we knew both Simmons Gainsford LLP and Kerman & Co, this made the communication process a lot easier - there was a great deal of trust and respect. As a result, the whole deal was concluded (thanks to the support of a number of departments within Barclays) within just three and a half weeks.
"This represented new business to Barclays which we were delighted to take on. Both East Sussex Press and Beacon Press are very successful businesses in their own rights, and we were pleased to be able to help; and now look forward to expanding our relationship over the coming months and years."
The advisers
Simmons Gainsford LLP, led by Tony Simmonds, and Kerman & Co, led by Daniel O'Connell, provided financial and legal advice to ESP.
Background
East Sussex-based Beacon Press is a printing firm, which includes more than half the FTSE 100 companies as its customers.
Beacon, which operates a hi-tech printing factory, has long been a trailblazer of environmentally sound business practices, and is one of just seven companies in the UK to be awarded the Wildlife Trust's Biodiversity Benchmark.
Source: M&A February 2005 issue
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