Vistaprint buys Pixartprinting

Vistaprint has bought Pixartprinting, the Italian printer that has built a multi million Euro business by exploiting the web to print concept to the full. The deal will see Vistaprint acquiring the 97 percent of the company that is currently held by private equity firm Alcedo SGR for a base price of €127 million, with Matteo Rigamonti, who founded Pixart printing retaining the remaining 3 percent.
The agreement also includes a sliding-scale earn-out of up to €10 million for Pixartprinting, subject to the achievement of revenue and EBITDA performance targets for calendar year 2014. Vistaprint expects Pixartprinting will have a net debt position of €18 million at the close of the transaction.
In 2013, Pixartprinting’s revenue was approximately €56 million, reflecting year-over-year growth of more than 35 percent. Pixartprinting’s EBITDA in 2013 was approximately €15 million, reflecting 43 percent year-over-year growth. The enterprise value (base purchase price plus net debt) represents a valuation multiple of 9.8 times 2013 EBITDA. Vistaprint will fund the deal from cash using its existing debt facilities. Subject to satisfaction of various closing conditions, Vistaprint expects the transaction to close during its fourth fiscal quarter of 2014.
Vistaprint will keep the Pixartprinting brand separate from its own business and will invest in the company for further growth. However, over time Vistaprint expects both brands to benefit from cross selling.
This acquisition should complement Vistaprint’s recently announced agreement to acquire People & Print Group B.V., which focuses primarily on the Dutch and Belgian markets.

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