Sygnet, sold in a pre-pack agreement following the appointment of administrators on 5 May, will retain all its 25 staff in the deal.
Sygnet will continue to trade from its Leicester site, but will rebrand as Sygnet Fabrications, with a new logo and website for the signage firm now under development.
Printweek understands the business was hit by the impact of the Covid-19 pandemic, rising costs, and bad debt.
Hollywood Monster was first approached about the possible opportunity in mid-March, according to CEO Simon McKenzie, who told Printweek that the sale was rapidly agreed in principle.
“We met them the same day: we got the call at nine o’clock in the morning, we were there at three,” he said.
Completion, after negotiation with administrators, was achieved by May.
The two companies, both long-established (Hollywood at 30-years-old, Sygnet 45), and both family-run, have long been trade partners, with Hollywood buying signs from Sygnet for its own printing operation.
The deal itself will allow Hollywood Monster to concentrate its purchasing from Sygnet as a single supplier, and to pass business onto Sygnet from its own customers, thus presenting a unified package to clients.
McKenzie added that the deal was agreed in principle within four hours; the same deal was then carried to completion, with Hollywood buying the business outright for an undisclosed sum.
Sygnet needs investment, he said, but Hollywood is happy to provide it.
“It was a very good match, and everyone was very comfortable with it,” he said.
McKenzie’s aim for the new acquisition is to build on Sygnet’s established place in the market and guarantee clients a high level of service.
He said: “We’re going to give it the Hollywood stamp of quality. We’re going to retain clients, retain staff, and introduce profit sharing like we have at Hollywood, once the business is stable. It will all be about positive step change, retaining the skillset in the business and providing customers a one-stop shop.”
Hollywood Monster chairman Tim Andrews also commented: “This is an exciting time of growth for Hollywood Monster, and we’re delighted that Sygnet, who has contributed so positively to the print and signage industry over the last 45 years and who share our values, can continue to deliver quality, cutting-edge projects as Sygnet Fabrications.”
Following the completion of the deal, Hollywood Monster now boasts a combined turnover of £12m with 65 staff.
