Flint Group has issued an offer to acquire the web offset business of German-based ink manufacturer Siegwerk, in the latest consolidation deal in the global ink market.
In a joint announcement, Flint Group, a global solutions provider to the packaging and print media industries, issued a binding offer to Siegwerk Druckfarben to acquire its web offset business, including Siegwerk’s Heatset and News Ink product lines.
“We are very excited by this transaction," said Antoine Fady, CEO, Flint Group. "This investment confirms our long term commitment to customers in these key market segments and re-enforces our unique offering to the market of inks, press room chemicals and transfer media products. This commitment guarantees a long term supply position for our Heatset and News Ink customers and further enhances our strong focus on the Print Media and Packaging markets across the world."
Siegwerk’s decision to sell its web offset business is in line with a strategy to focus on its core business in packaging printing and to further build its market leadership in inks and coatings for labels and flexible packaging, where the company sees significant potential.
"We need to clearly devote our resources to serving the markets of tomorrow and we will do so by focusing on our core packaging printing business," said Herbert Forker, Siegwerk CEO. "It is here where we see significant growth opportunities, particularly within the strongly accelerating Asian markets."
All 76 permanent employees in Siegwerk’s web offset business will be offered a transfer into other areas within their facility at Siegburg in Germany, with Flint Group intending to employ a core team from Siegwerk’s web-offset business after the sale.
The Siegwerk publication gravure business, which manufactures printing inks for high-end magazines, catalogues and commercials, will be continued. The company's long-standing expertise and a market share of around 45 percent in Europe gives Siegwerk a strong market position in the area.
Siegwerk said it would work closely with Flint Group to ensure that any handover of business is completed without disruption. Completion of the deal is subject to customary closing conditions, including approval by competition authorities. Until approval is granted, Flint and Siegwerk will remain separate entities and continue to manage their affairs independently.
In November 2015, Flint acquired leading digital solutions provider Xeikon, which designs, develops and delivers high-end digital colour presses and consumables for the global commercial, document, label and packaging market segments, distributing its solutions through a worldwide sales and service network.
Flint Group develops, manufactures and markets an extensive portfolio of printing consumables, including: conventional and energy curable inks and coatings for most offset, flexographic and gravure applications; pressroom chemicals, printing blankets and sleeves for offset printing; photopolymer printing plates and sleeves, plate-making equipment and flexographic sleeve systems; pigments and additives for use in inks and other colourant applications. Headquartered in Luxembourg, Flint Group employs 6800 people. Revenues for 2014 were € 2.1 billion.