Capita scoping out further buys

Outsourcing giant Capita is planning to expand its Document & Information Services business through further acquisitions, while its new Mansfield site has achieved a major milestone.

The £4bn-turnover group has already made a number of strategic buys, including the purchase of Right Document Solutions in 2011, and of Liberty Printers and Complete Imaging last year.

“Our plan is to grow the business geographically through acquisitions. In 2015/16 we hope to have acquired another two or three businesses, in Scotland, Ireland and other areas to ensure we have full UK and Ireland coverage," said divisional director David Lockie.

The firm has invested some £17m in its new Mansfield operation, which houses the first two Xerox Impika colour inkjet web presses in the UK.

The 8,450sqm ‘white paper in’ facility has done away with the need for separate envelopes through the use of CMC paper wrapping equipment. It went live in October and also uses kit and software from Hunkeler, GMC, Tecnau, Apex, Bell & Howell, and Ironside.

Lockie said one of the initial priorities had been to move previously outsourced work in-house.

“We’ve just completed all the annual billing work, such as council tax bills for local authorities, and a lot of that was previously outsourced,” he explained.

“We are still migrating some other work, but by the year-end we will have transferred everything into Mansfield or our other facilities.”

Plans are also in train for creating a facility for handling inbound documents at the Mansfield site.

“We have an automated white paper factory here and we are working on the equivalent for inbound, so we can get that closed-loop technology in place. I’m keen for this factory to be a one-stop shop,” Lockie said.

“Because of the technology we are using, we can know what is in an envelope when it comes back in to us, without needing to open it. This offers the potential for real-time information for marketers. We’re talking to a number of clients about it at the moment.”

Capita’s Document & Information Services wing currently has sales of around £115m. Lockie said there was a 50-50 split between public and private sector businesses among its clients.