Chicago-based InnerWorkings continued its global expansion this week by acquiring Paris-based Production Graphics, giving the leading print management solutions company a firm foothold in continental Europe.
In an interview with PrintWeek, InnerWorkings CFO Joseph Busky explained, "We do have a presence in the UK through a company (Birmingham-based Etrinsic) we bought in 2008 and they do about $45m in revenue. But because sourcing print is a pretty local activity, we couldn't expand that through all of continental Europe - with Production Graphics we'll now have the capability to do that."
Productions Graphics employs more than 70 and did $22m in business in 2010 with clients in 25 countries, including Italy, Portugal, Poland, Hungary and Dubai. As part of the acquisition, Production Graphics CEO Christophe Delaune has agreed to a long-term contract to remain with InnerWorkings.
"In many ways Production Graphics is the last piece of the puzzle in establishing our source capabilities throughout the world," Busky noted, adding that the addition of Production Graphics brings the total number of vendors working with InnerWorkings on print management solutions to near 10,000.
"It will definitely increase our ability to source suppliers in Europe," he said. "This acquisition also gives us so many top line opportunities to cross-sell our North and South American clients to Europe - and sell Production Graphics' existing client base on services here in the US as well as South America."
InnerWorkings has been on a bit of an acquisition binge, picking up Santiago, Chile-based CPRO early this year and following that up by buying Murfreesboro, Tenn.-based Audax Strategies.
Busky pointed that being the largest print management company in the world has its advantages both around the world and at home. "There are definitely some larger print companies like Williams Lea that began in the UK and have lined up clients in Europe and now have a US sales force, but they're smaller than us," he said. "And there are other European based companies that are trying to come to the US, but haven't been very successful. As we've gotten bigger, we're now talking to bigger, more multi-national clients and it certainly helps to be able to talk about how we can service their print management needs around the world."