EFI snatches up VUTEk for $281m

The deal is expected to close in the third quarter of 2005 with the standard regulatory approval, adding revenue of approximately $72 million to EFI’s bottom line. VUTEk is one of the leading suppliers superwide-format digital inkjet machines, and in 2004 reported revenues of approximately $130 million.

Managing director of EFI Australia Eric Holtsmark claims it is business as usual for EFI and VUTEk in Australia, for the moment at least. “Because the deal has only just been announced, exactly how we’re going to take it to the market in the Asia Pacific region is still being discussed.”

Holtsmark however asserts that the purchase will almost certainly lead to positive developments for the companies in the region. “As time moves on, we’ll be looking at how we can develop the synergies between the two companies. It’s a great addition to EFI’s portfolio, and offers an opportunity to move into the commercial print market.”

Currently EFI sells its proofing products in Australia through DES.

EFI CEO Guy Gecht is also enthusiastic about the opportunities offered to his company by the purchase. “VUTEk will be an excellent addition to EFI's range of best of breed innovative solutions for the commercial print market,” he says. “There are many natural synergies between EFI's core expertise in digital printing innovation and VUTEK's digital inkjet technology.”