Blue Star Group, owned by parent company IVE, is on target to acquire direct mail firm The Mailing House (TMH) and will integrate the business into its Direct division.
The deal – slated for completion on September 30 – will see the majority of TMH employees and clients absorbed by Blue Star Direct under the leadership of its general manager David Veness.
IVE chief operating officer Matt Aitken told ProPrint Blue Star saw opportunity in TMH’s strong staff and customer base, and is particularly pleased with the minimal crossover in client lists.
“The Mailing House is a great business with loyal staff and good clients, and the strength of TMH will be a good fit for Blue Star Direct,” says Aitken.
“Blue Star has known the guys from TMH for quite a long time, and we saw opportunity in the connections and clients they have which add enormous value to our business.”
Cliff Brigstocke, chief executive for Blue Star says, “I see a great combination of talent, technology and culture that strengthens our offer to the market.”
[Related: Blue Star buys Fineline]
TMH has been in operation for some 30 years with director Lindsay May at the helm. May will stay with the business, he told ProPrint the acquisition is a testament to the bright future of the mailing industry, and says the deal was propelled by a need to boost turnover capacity in a growing market segment.
“The Mailing House needed a bigger player in the market with high volume and high speed like Blue Star to push us to another level,” says May.
“We had a look at the Blue Star Web and Direct facilities and saw how impressive their operations were, so we knew this is what TMH needed.”
May says TMH’s turnover power stems from strong connections in the not-for-profit space where high-demand periods such as Christmas and end of financial year put a lot of pressure on the business.
[Related: Blue Star's third acquisition for 2016]
“With Blue Star’s equipment and 24/7 operation a lot of the pressure has been alleviated. TMH has experienced an upturn in the last 18 months so we feel positive about this acquisition,” adds May.
“We have never felt more comfortable dealing with a business, and people like Matt Aitken and Graham Morgan are impressive to work with. We have joined a like-minded company with a similar philosophical culture to TMH.”
The Mailing House will move on from its operation in Rydalmere after 30 years to join Blue Star Direct’s facility in Homebush.
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