The Hannan family has become the largest shareholder in PMP as the publicly listed company completes its acquisition of IPMG, creating the biggest printing company in the region.
The merger was officially completed on March 1 after the ACCC gave it the green light last month. Under the terms of the deal, PMP acquired 100 percent of IPMG, with the Hannan family receiving almost 36 percent of PMP in newly issued shares. This makes the Hannans the largest single shareholder in the newly merged outfit.
The transition is now underway, with Peter George, CEO of PMP, flagging extensive changes as the two largest web printers in the country become one. “As an integrated business, our skills and breadth of experience across print, digital and distribution services allow us to continue to work with brands to make a genuine connection with the right audiences, no matter how complex the challenge. Any merger of such scale requires change. Some changes will be taking effect immediately, others to come,” George said.
As part of the transformation, PMP will split into a printing division and a digital and distribution division, with IPMG's Adrian Connor running printing, and James Hannan reporting to former IPMG CEO Kevin Slaven on digital and distribution.
In its press release, PMP indicated that it may close up to three sites across Victoria, NSW and Queensland. PMP spokesman Rodd Pahl declined to comment on potential layoffs, saying only that the company would consult with employees and the AMWU during the transition process; however, some staff from PMP head offices have already left the company. “We will be supporting all affected staff through these changes and will continue to work closely with our customers to ensure our quality of service and products remains at the highest standard, and as we deliver ongoing value to our shareholders,” Peter George said.
As part of the deal, IPMG will nominate two directors to the PMP board.