Ability Press and Miracle Bookbinding owner buys On Demand business from liquidators through Production Print (Australia), the company that was running the operation under license since Bruce Peddlesden gave it away due to ill health.
He is the majority shareholder and sole director of the new company, which will trade as OnDemand. Other shareholder in the new company are former managers at On Demand; Con Maniatis, Tim Farrell and Andrew Elia.
Administrators Ferrier Hodgson sold the business to PPA late on Friday on behalf of the largest secured creditor, the National Australia Bank. It’s understood there were two or three other bidders in the hotly contested contest and feelings are running high in the Melbourne printing company.
Liquidators of the original OnDemand company, Bent & Cougle, are still waiting on a report from Ferrier Hodgson before realising the remaining assets, but it’s understood there will be little or nothing left over for other creditors. Hamish McKinnon of Bent & Cougle said he will be examining the recent transactions of the company but was doubtful there will be anything to salvage, even to pay the fee for the liquidator.
According to Michael Wu, the business was sold to the best offer and the sale brings to an end two weeks of what he terms ‘speculation, uncertainty and a smear campaign from the media.’ He claims it is the out come is the best possible result for the business in the circumstances with the majority of employees transferring over to the PPA retaining their entitlements.
“Over the next few days I will be working tirelessly with customers and suppliers to bring back the business to normal. I will be in contact with Currie Group, KW Doggett, BJ Ball and the others during the next couple of days and I am comfortable and confident we will be able to do business,” he said.
PPA was undoubtedly in the box seat in the process due to its incumbency in running the business under licence from Bruce Peddlesden. Ability Press had a close relationship with the company, almost operating as the offset production arm of OnDemand. Michael Wu says the new combined business will have plenty of synergies and be profitable. He intends to invest in upgrading some equipment at OnDemand, following his recent purchase of HP Indigo for ability Press.
“OnDemand is a good business and over the next few weeks we will be working to identify what went wrong and turn it around. It has great staff and great customers and I want to thank all the staff at Ability Press and Miracle Bookbinding as well as PPA for their great faith in me!”