Home' ProPrint : ProPrint May 2015 Contents UPDATE
4 ProPrint May 2015
PRINT BY NUMBERS
The value that Paperlinx share
shot up to as Euro businesses into
administration, a 53% rise p2
The year that Ray Norgate took
over McKeller Renown, now sold
to Bambra Press p4
You will pay less than $8000 to
Kayell for the latest Epson digital
A3 colour printer p9
Value of new contract wins at PMP
as the company seeks to dump
low or no margin work p12-13
Number of staff at multi-platform
printer Pegasus, with 94 of them
on the new Tharstern MIS p24-26
Amount that the Gitttus brothers
sold their business for p28-30
Number of digital printing
systems that could be sold in
Australia this year p36-38
12Number of wide format print
systems featured in this months
Technology Guide p64
Graphics Plus liquidated with $1.5m debts
Bambra Press buys McKellar Renown
by Nic White
Sydney printer Graphics Plus will close
for good after administrators failed to
find a buyer for the stricken business
despite 32 expressions of interest.
The specialist UV printer famous for
its plastics work went into administra-
tion on March 30 with debts of more
than $1.5m, and will now be
Former employees say the company
had been struggling for the past year
with falling sales and $200,000 in bad
debts from fallen clients including Geon
and Focus Press.
Administrator Thomas Dawson at
Insol Group says despite 32 expressions
of interest in buying Graphics Plus as a
going concern, the most for any com-
pany in his 15-year career, he could not
get a deal done.
“I think they thought the asking price
was too high and they could pick up the
clients any way,” he says.
Dawson says all 16 staff have been
made redundant and the equipment,
including an Agfa Anapurna M1600
and a manroland UV offset press, will
be auctioned off by Grays Online in the
second week of May.
The staff, owed about $300,000 in
entitlements, will get their superannua-
tion from the asset sale and the rest
by Nic White
In a surprise move, Bambra Press ha s
bought McKellar Renown Press in a
deal that sees two of the most awarded
printers in Melbourne joining forces to
become a significa nt player.
McKellar’s new fourth-generation
management team of Adam, Chris, and
Kerrie Norgate say it is the best option
for the family succession plan.
Chris says selling the McKellar
Renown building last year gave them
the opportunity to provide for outgoing
directors Stephen and John in their
retirement and start a new chapter.
Stephen Norgate says the family con-
sidered all options including a new
plant, acquiring other businesses, merg-
ing, or sharing resources.
“My primary concern was to keep our
clients serviced because without clients
there is no future for the company, the
staff or my family,” he says.
“Some had good offers, but they did
not rea lly get what we do or were not
appropriate for the needs of our clients,
but Bambra made a lot of sense.”
Bambra managing director John
Wanless says acquiring McKellar is part
of its strategy to gain market share in
changing print landscape, as well as
‘ dedication to the craft and quality of
print in this era of digital
“ We were not after the business but
once it became available, and since our
products complement each other, it
made sense to buy the competitor.”
The young gun Norgate trio will
make the jump to Bambra and continue
running McKellar as a separate brand
entity, reporting to Wanless.
“Both the Bambra and McKellar
brands assure customers they will not
lose their individuality now that they
are getting hitched ”, the companies say.
Chris says the outcome is not only
what is best for staff, clients, and the
family – it is also great news for the
printing industry, which is struggling
w ith overcapacity.
The former rivals will occupy the
same turf with McKellar moving its
operations to Bambra’s Port Melbourne
facility, and all of its almost 30 staff will
come too, except four who requested
redundancies, forming a 70-staff firm.
Chris says McKellar’s turnover has
been consistent for the past three years,
and though not all of its equipment will
transfer to Bambra, extra shifts will
keep capacity stable for both companies.
Go to proprint.com.au
for news as it happens
director, Graphics Plus
from a Fair Entitlement Guarantee
Dawson says trade creditors are owed
about $300,000 and under new laws
four suppliers including at least one big
paper merchant will get priority.
Owner Phillip Delaney, who ran the
business for 26 years, is the biggest cred-
itor, having sunk $800,000-$1m into
Graphics Plus lost $61,500 from the
Focus Press collapse and former employ-
ees say it is out of pocket about $40,000
from Geon and $110,000 from a design
agency that went bust last year.
Margins and sales were falling across
the market and it was facing increased
competition, including from its own
polypropylene sheet material supplier
Megara, which recently began supply-
ing finished products.
They say the last straw was the lease
on its Silverwater plant ending and the
landlord wanting a five-year renewa l.
With Delaney nearing retirement he did
not want to commit to a long-term deal
with the business in the shape it was in.
The company pioneered offset print-
ing onto plastic more than 30 years ago
and had trade services including UV
printing and printing on plastics, plus
packaging, point-of-sale, commercial
print, and retail and digital printing.
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