The sale of web offset press manufacturer Goss to a US private equity group is unlikely to have an impact on the local market, according to Steve Dunwell, MD of local market leader manroland Australia.
The sale of web offset press manufacturer Goss to a US private equity group is unlikely to have an impact on the local market, according to Steve Dunwell, MD of local market leader manroland Australia.
American Industrial Partners (AIP) has signed a deal to buy Goss from its Chinese owner Shanghai Electric Corporation (SEC) with the agreement expected to be completed in the next two to three months, subject to regulatory approvals and closing conditions. The value of the deal has not been disclosed.
"I’m not a great fan of private equity firms taking over industrial manufacturing companies because at some time they will want to generate profit from the sale of the company,” said Dunwell. “Goss continues to do reasonably well in the market with some of their products but I don't think the sale will have much effect here. The fact that SEC wanted out means that it hasn’t worked out for them and I’d like to know why they wanted to get rid of it.”
Goss says the agreement is part of a strategy to strengthen its position as a leading web-offset printing press supplier.
"As a leading supplier of commercial web, newspaper and packaging offset printing presses, Goss is wholly committed to its valued, worldwide customer base and to the sale and support of its broad range of the industry's most innovative products," said Rick Nichols, CEO, Goss International.
"Goss is looking forward to the next phase of its journey under new ownership. AIP is a like-minded, forward-thinking organization that will continue to support our culture of innovation and customer collaboration. Our previous owners, SEC, will now refocus on their core business interests," said Nichols.
With over a billion dollars of equity capital currently under management, AIP is a private equity firm with a record of successful investments in North American based industrial businesses that serve global markets. The printing industry is not new to AIP and the company previously owned Day International and Mark Andy, while Presstek is currently a part of its portfolio of companies.
Goss has an office in Melbourne for sales, parts and service.