PMP’s $14.7 million shopping spree in New Zealand

The purchases signal a more expansionary strategy for PMP (NZ) with CEO, Rodger Shepherd describing them as providing a strategic platform for further expansion.

Maxum is a print solutions business with a particular niche in the real estate market where it has a strong position. It specialises in pre-media services and provides real estate companies in New Zealand with a complete range of printed services, including magazine, business cards, flyers, promotional materials and signs.

Printworld is a successful commercial sheet-fed printing company with a substantial amount of its work being sourced from Maxum on behalf of its customers. PMP paid (NZ)$9.7 million for 75 per cent of the businesses.

Andrew Falloon and Greg Ward, currently managing director of Maxum and Printworld respectively, will continue to be responsible for the day-to-day management of these companies.

Commenting on the deal Andrew Falloon said, “ We are very pleased to have PMP as our partner. PMP is the country’s largest printer and they bring to our business considerable capabilities that will allow us to continue to build solutions for our customers while seeking expansion opportunities in other areas.”

Rodger Shepherd, said, “Both businesses are excellently managed and having Andrew and Greg as part of the senior management team in PMP (NZ) adds considerable experience and breadth of expertise. PMP’s involvement will enable these businesses to continue their tremendous recent growth and extend PMP’s offer beyond our current customer base.”

The purchases come hard on the heels of the $4.4 million Gordon & Gotch purchase, which complements PMP’s ownership of the distribution company in Australia. According to Shepherd having the Australian and New Zealand operations under common ownership will result in benefits for the company and its stakeholders.

“We will use the synergies between the two operations to develop and explore new business opportunities in both markets. In addition, the ability to share technology and client information systems between Australia and New Zealand will result in increased levels of services offered to existing customers," he said.

“It will be very much business as usual for our customers but at the same time we will be exploring opportunities to add value to the services we currently provide to them."

All Gordon & Gotch employees have been offered the opportunity to move across to PMP at no less favourable terms than they currently enjoy. David Gadd will continue to manage the business.