Annodata, provider of communications, managed print and IT services for businesses, has acquired STS; a specialist provider of managed print services. The acquisition, which was funded entirely by Annodata's existing cash reserves, will extend Annodata's specialist print capabilities and push its annual revenues above £80 million.
Based in Wetherby, West Yorkshire, but with a nationwide reach, STS has developed a niche in specialist print services and has a reputation for providing exceptionally good value to its customers. Working with both the public and private sectors, STS counts a number of high profile names amongst its customers, including William Hill, the Manchester Evening News and the Yorkshire Post.
The acquisition fills a gap in an area where Annodata has not traditionally focussed, namely, wide format specialised printing. The additional turnover from the STS is expected to approach £3 million per annum and, once incorporated into the business, Annodata will have annual revenues in excess of £80 million and over 400 employees. The two businesses will be integrated in full, with Annodata's Leeds office set to be relocated to STS's offices in Wetherby. With a wealth of experience and expertise with specialist print services, STS's existing staff, including the Managing Director, Peter Langstaff, will remain in situ and will continue to play a central role in the newly-enlarged business.
Martin St. Quinton, Annodata's Chairman, commented: "STS has an impressive portfolio of longstanding customers including national and local newspaper groups and, much like Annodata, is particularly strong in the housing association market. Vendor agnostic and with a strong, profitable business model, STS is a great fit for Annodata. Annodata has a rich history dating back to 1988 and is now one of the largest B2B providers in our space in the UK. We've grown steadily over this time, never incurring any debt and maintaining healthy balance sheets.
"Over the next 12 months we will look to make further strategic acquisitions like the Keltec deal last year to expand our product portfolio and tuck-in acquisitions like STS which consolidate our position as a leading provider of print, communication and technology services to the private and public sectors," he continued.
STS's Managing Director, Peter Langstaff, added: "Becoming part of the Annodata Group is good news for our staff and, importantly, for our customers, who will benefit from the additional resources and capabilities that a company of Annodata's size and breadth can offer. In addition, it means that suppliers will have the opportunity to pitch for a larger amount of expenditure by Annodata, given the increased revenues. Annodata has a long history of making acquisitions, so I have every confidence that the integration of STS will be smooth and look forward to working closely with the team to move the business forward."