Mercedes buys On Demand business

Mercedes Waratah has bought the collapsed On Demand business and is launching a new digital business Data Direct Digital to synchronise with its recently purchased mail business Data Direct Mail.

The deal for what in its day was Australia’s biggest digital print business will take group – owned by Moody and Abbey Aboughattas sales past the $50m marker, making the company one of the key players in the Victorian print industry.

On Demand has gone bust twice in the past year, first under the tenure of founder and long time owner Bruce Peddelsden in September last year, then two months ago under Michael Wu’s ownership.

Mercedes Waratah Group COO Brett Chalmers says, “We have selected the best people, systems and assets from On Demand, and together with our already strong asset base and financial stability, we can assure all our customers that our foundation is rock solid and we are absolutely in the print and mail industry for the long haul. “

The business will relocate to Mercedes’ Port Melbourne facility. A number of staff and some equipment will come with the business.

Chalmers says, “We again welcome On Demand and its customers to the Mercedes Waratah Group and thank them for being loyal during this period of uncertainty.”

Mercedes Waratah says its focus is on broadening its group offer to the client base of all three platforms. Chalmers says, “From our large offset presses, to full digital automation right through to plastic wrapping, inserting, mailing and fulfilment we have from start to finish covered.

“The complete suite of services and products brings improved performance and customer experience giving our customers the best value proposition.”

On Demand went broke on July 22 owing ‘hundreds of thousands’ of dollars with paper merchants and equipment suppliers the major creditors.

The sale of the business to Mercedes Waratah marks the end of Michael Wu’s print career, at least for now. The former high flyer was booted out of his partnership with the Aboughattas brothers at Mercedes owner Docklands Ability Group three months ago, then Longbeach Printing – which he only bought in February this year – closed, opened and closed again within the space of a month, and finally On Demand went into administration, and has now ended up being part of the same group that Wu was ejected from following claims that he was less than forthcoming about the state of his Ability Press business which was part of the Melbourne mega merger that took place a year ago.

 

 

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