PrintWeek revealed that a deal between the two firms was being brokered in the summer (PrintWeek, 19 June).
The deal is subject to EU approval, and is expected to be finalised by the end of next month. Polestar and Grupo Prisa will each have a 40% stake in the as-yet-unnamed venture. The remaining 20% will be held by venture capitalists Ibersuizas. The financial terms were not disclosed.
This is a very good move for us, its a very good deal, said Polestar chief executive Barry Hibbert.
Polestars Spanish operations include gravure sites Heliocolor and Hispnica, web offset at Altamira and pre-press business Grficas Integradas. Grupo Pisas Prisaprint division includes book printers Mateu Cromo, Macrolibros and Mateu Lber, Mateu Press (brochures, magazines and newspapers) and newspaper printers Bidasoa, Norprensa and Distasa.
The combined print operations of the two companies will employ around 1,500 staff and have sales of more than 140m (Euro200m)
Hibbert said there were a number of reasons behind the deal. The Spanish market hasnt been fantastic and this solidifies our position and gives greater contractual fill. In web offset, for example, we were spending on capex and they were too. By putting it together we only have one set of capex and we can meet market demand as opposed to fighting for it.
We have been looking at strategic alliances and where it makes sense we will do that. We have to match capacity with demand, and its out of kilter at the moment. I predict there will be more deals like this, he added.
Polestars chief operating officer Chris Pavlosky will become chairman of the new joint operation, with Prisaprint chief executive Jesus Castillo retaining that role for the enlarged business.
This is a fantastic deal for Polestar, securing our future development in Europe and moving us into a new era of printing in books and newspapers, Pavlosky said.
As part of the deal Polestar has an option in five
years time to acquire the commercial printing assets, while Prisa has a similar option over the newspaper printing side.
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