EFI spins off Fiery

EFI has spun off its Fiery division as a separate company though still owned by the venture capital company Siris Capital Group, that acquired EFI in April 2019. 

Tyler Sipprelle, a partner at Siris, commented: “Establishing Fiery as an independent company positions the business to deepen its commercial and strategic partnerships across the industry.” 

This is an obvious move that addresses the growing issue that the Fiery division increasingly needs to sell its DFEs to OEM digital printer manufacturers while at the same time EFI is continuing to grow its own inkjet printer business, with the potential to compete against the Fiery OEM customers. 

Toby Weiss, who has been Chief Operating Officer and General Manager of Fiery, will continue to run the business, though now in the role of CEO of Fiery. And he will continue to answer to Jeff Jacobson, who will now give up being CEO of EFI to concentrate on his job as Executive Chairman of both Fiery and EFI.

Weiss stated: “Fiery now has a greater ability to serve as a neutral partner to ensure OEMs capture success within digital print. We look forward to accelerating our investment as a standalone company, while driving our expanding product portfolio, incorporating world-class colour algorithms, and developing advanced cloud technology.” 

Weiss continued: “Fiery will remain focused on working closely with its OEM partners, including the EFI Inkjet business, to continue developing cutting-edge technology that drives the next generation of automation, accuracy, and profit potential in digital printing,”

However, it remains to be seen exactly how far EFI manages to separate itself from Fiery. EFI continues to have a very strong relationship with eProductivity Software and to list its productivity solutions on EFI’s website though this actually is a separately owned company. Equally, EFI has been more dependent on its Fiery digital front end software after selling off its productivity software division. And it’s inconceivable that EFI would select a DFE from another supplier for any of its inkjet printers. At the same time, Fiery has to convince its OEM customers that there is some clear distance between itself and EFI, and there is a risk that EFI loses some of the tight integration with Fiery that it has benefited from.

Jacobson noted: “This realignment best positions Fiery, the leading global DFE provider, to accelerate investment and win in its current markets while also strategically expanding its footprint into key adjacencies – as exemplified by Fiery’s recent acquisition of CADlink Technology Corporation.”

This move also frees EFI to buy more specialised workflow software to go with its various inkjet presses. A good example of this would be the acquisition of the textile software company InEdit last year to work alongside EFI’s Reggiani division.

In theory, separating out the two companies will also allow EFI to concentrate on its inkjet printer business, which currently covers a number of different markets including packaging and corrugated, display graphics, textile, and more industrial inkjet areas such as building materials and décor end-markets. 

It’s worth noting that Kodak also operates its Creo POD business as a standalone company, giving it the freedom to talk with Kodak’s competitors. Indeed, Kodak has been so successful at keeping Creo POD at arms length that most people have either forgotten that Kodak owns Creo POD or that Creo POD still exists. At the same time, both of these companies face a growing threat from Global Graphics’ SmartDFE, which is targeting new inkjet presses. 

In the meantime, EFI has appointed Frank Pennisi as Chief Executive Officer. He was most recently President and CEO of Orora Packaging Solutions, a company that offers custom packaging solutions with an emphasis on corrugated. As such the company uses the Nozomi single-pass inkjet printer. A sister company, Orora Visual, which sells display graphics, used both Vutek wide format and Reggiani industrial textile digital printers.

He commented: “As a former customer, I know that EFI’s digital industrial inkjet portfolio is unmatched in the industry.” He added: “The Company’s suite of equipment, inks, and intelligent service positions it to address its customers’ most critical needs. I am thrilled to be joining EFI at this pivotal moment as the industry transitions toward digital inkjet.”

Jacobson concluded: “This realignment positions both EFI, now solely focused on digital inkjet for industrial applications, and Fiery, the leading global DFE provider, to win in their independent markets while maintaining the close partnership that has contributed to the success of each business. Digital imaging would not be where it is today without Fiery. Operating as a standalone company will only further strengthen Fiery’s market-leading position in providing innovative DFE solutions. Similarly, no company in the industry can match the depth and breadth of EFI’s industrial inkjet portfolio and I am looking forward to this next chapter of growth under Frank’s leadership.”

You can find further details on both EFI and Fiery from efi.com.


Posted

in

, , ,

by

Tags:

Syndicate content

You can license the articles from Printing and Manufacturing Journal to reproduce in other publications. I generally charge around £150 per article but I’m open to discussing this for each title, particularly for publishers that want to use multiple stories. I can provide high res versions of images for print publications.

I’m used to working with overseas publishers and am registered for VAT with the UK’s HMRC tax authority but obviously won’t charge VAT to companies outside the UK. You can find further details and a licensing form from this page, or just contact me directly here.

Support this site

If you find the stories here useful then please consider making a donation to help fund Printing and Manufacturing Journal, either as a one-off or a repeat payment. Journalism is only really useful if it’s truly independent and this is the only such news source serving the print/ manufacturing sectors.

However, there are costs involved in travelling to cover events, as well as maintaining this site, not to mention the time that it takes to carry out research, check facts and interview people. So if you value this work, then please help to maintain it and keep it free to read.

Subscribe

Never miss a story – subscribe to Printing and Manufacturing Journal to receive an email notification every time an article is published here. It’s completely free of charge and you can cancel the subscription at any point without any hassle. There’s no need to provide any information other than an email address and subscribers details are not for sale so there’s no risk of any further marketing spam.

Related stories

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *