News

Packaging giant DS Smith has set out its stall to become a top player in the point-of-sale market after buying screen and digital specialist Multigraphics.

The deal, completed last week, means Multigra­phics has become part of DS Smith Packaging’s growing Deco­rative Segment, which also includes 3D display specialist DS Smith Display in Ely.

Multigraphics managing director Gary Lasham, who led a £10m management buy-in at the Bradford firm in early 2004, and his team will stay at the company.

For DS Smith, the acquisition bolsters its 2D and poster-printing capabilities and reduces the number of points of contact for clients who already use the firm for their packaging requirements.

No financial details of size by turnover or the cost of the deal have been released. However, it is understood that the deal will push DS Smith into a similar arena to point-of-sale leaders such as Bezier and St Ives division SP Group.

The deal comes as Multigra­phics’ digital division settles in to a new 2,500sqm plant next door to its main site.
Lasham said that the timing of the sale had come at a “natural point” for the £11m-turnover firm, coming almost exactly four years after the private-equity-backed deal which brought him in to the firm.

He said: “I’ve always said that entrepreneurs give birth to companies and take them through their teenage years, but now Multigraphics has grown up and got married.

“This was the right thing to do and we will be working with people whom we admire and respect.”

Bob McLellan, chief executive of DS Smith Packaging, said that the acquisition was part of the group’s “clearly stated strategic objective to expand in the growing print and retail display sector”.

Terry Ousley, a director of DS Smith Packaging, added: “I’m delighted that further investment is already going on, that the factory has expanded into a second site and that the excellent management team will take the company forward.”