Hewlett Packard in £380m deal for Equistone-backed Apogee Corp
Manchester-based private equity firm Equistone Partners Europe has agreed a £380m deal to sell office equipment dealer Apogee Corporation to NYSE-listed HP Inc.
Apogee is headquartered in Maisdstone, but has a large operation in Manchester at Heald Green.
Significant investment from Equistone in September 2016 – when Apogee was valued at £185m – enabled the print specialist to expand through several acquisitions, as well as organic growth.
Steve O’Hare, senior partner at Equistone and TheBusinessDesk.Com Rainmaker of the Year, was involved in the deal.
Following the acquisition, HP said the deal furthers its plan to disrupt the £42bn A3 copier market and builds on its printing strategy to enhance its A3 and A4 product portfolio, build differentiated solutions and tools to expand its managed print services, and invest in its direct and indirect ‘go-to-market’ capabilities.
HP president, imaging and print, Enrique Lores, said: “The Apogee acquisition extends HP’s print leadership by boldly leveraging the industry shift to contractual sales as we aggressively pursue the A3 office market.
“We’re augmenting our go-to-market and enhancing our ability to deliver the services necessary to win in the profitable contractual market.
“This deal complements our broader channel strategy and HP remains committed to building our business through our best-in-class partner programme,” he added.
HP has been investing in the A3 business with strategic initiatives including the acquisition of Samsung’s printer business and the launch of a portfolio of superior A3 and A4 multi-function printers based on unique IP and value-added services and solutions.
The Apogee deal expands HP’s services portfolio in contractual office printing and managed print services categories, where solutions are increasingly important for small and medium businesses (SMB).
HP said Apogee is a profitable and progressive office equipment dealer with a proven track record of growth.
“The company brings strong capabilities in contractual printing services and solutions, an experienced leadership team and access to SMB and mid-market customers.”
The deal is expected to close by the end of calendar year 2018, pending regulatory review and other customary closing conditions.
HP said following conclusion, Apogee will operate as an independent subsidiary of HP, with a governing board comprised of HP and Apogee management.
“Apogee will have the same commercial relationship with HP as any other premium partner with access to the same tools and partner programmes,” it said.
