The biggest share market float in Australian print has just taken place, as integrated print and marketing communications business IVE Group Ltd (ASX code – IGL) has just listed on the Australian Securities Exchange (ASX). Billed as the most anticipated float in the print and marketing communications sector in two decades, current shareholders Wolseley Private Equity, the Selig Family and IVE management will retain a 57.5 per cent stake in the company. Its $75.6m offer of 37.8 million shares at $2 each was oversubscribed two and a half times, following the underwriting of the offer by IVE’s brokers. In its new public form Geoff Selig will continue as executive chairman of the Group, with Gavin Bell and Andrew Harrison joining the board as independent non-executive directors.

Ringing success: Geoff Selig, executive chairman of IVE Grop launches the company on the ASX

Geoff Selig says: “We are delighted with the strong level of support from our high quality cornerstone investors. Our strong financial position and access to capital markets will provide the platform for the company’s continued strategic expansion of its product and service offering.” At the launch event Selig paid tribute to the origins and drivers of the company as he looked forward. He says, “Given its heritage that dates back to 1921 with the launch of a local newspaper by my grandfather, it is extremely rewarding to be able to present a business of this calibre and diversity to the market. “The strong underlying fundamentals of the business are testament to our wonderful staff, the depth of our customer relationships, combined with a sound strategic roadmap and significant investment over a very long period of time” Selig said the same drivers that had brought the company this far would continue into the future, “Those drivers and values are a clear strategic direction, a lot of hard work, customer service, continual re-investment in the business, and looking after our people.” The share offer was for 42.5 per cent of the business, and valued IVE at $177.7m. Owners Wolseley p/e and the Selig family retain the majority shares between them, with Wolseley holding 38 per cent of the shares and the Seligs 15 per cent. The offer values IVE at 4.9-times its forecast 2016 proforma EBITDA and at 8.1-times forecast net profit after tax and amortisation. The company is forecasting revenue of $355.7m, and a net profit of $19m for the current financial year. IVE is the parent group of the country’s biggest sheetfed printer Blue Star Print, which is now one part of one of four divisions of the diversified group; IVEO, Blue Star, Kalido and Pareto IVE’s four major divisions each have with multiple operating businesses: IVEO  designs, implements and manages seamless multi-channel business communication solutions; Blue Star is print, display, warehousing and logistics, personalised communications and promotional merchandise, and Kalido is a creatively led technology agency that brings together the full spectrum of strategy, creativity, design and technology, and Pareto is a telemarketing and fundraising business. Blue Star came into the existence in the late 1990s following the acquisition of Link Printing from the Selig family. The business expanded strongly through organic growth and acquisitions until its purchase by Champ p/e in 2007. It was acquired by Wolseley and the Selig family in 2012. The company rebranded and restructured as IVE in April this year following a series of nine strategic acquisitions. IVE is one of Australia’s most diversified marketing communications businesses, with an unparalleled product and services offering, holding leading positions across many of the sectors in which it operates. With FY16 forecast revenue of $380m, EBITDA of $42.5m and a market capitalisation of $177.6 million, IVE has continued its strong growth and evolution over the last three years both organically and through a disciplined acquisition program that has seen the Group complete nine transactions.

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