Dave Savastano, Editor11.30.15
The end of the year is a good time to look back on the past 12 months and see what has changed and what remained the same. For the ink industry, these changes may provide a clear glimpse into the future.
As I note in “The 2015 Year in Review,” which begins on page 16, there are a few interesting trends that can tell us more about the coming year. The first of these is consolidation throughout the printing supply chain.
Understandably, these mergers and acquisitions occurred in growth areas. On the printing side, this means packaging: RockTenn and MeadWestvaco formed WestRock, the second-largest consumer packaging printer, with combined sales of more than $15 billion. Ball Corporation is poised to acquire Rexam, which would become the third-largest consumer packaging printer, with nearly $15 billion in sales.
Ink manufacturers also made acquisitions in growth areas, notably the digital textile market. EFI acquired Reggiani Macchine, a leader in textile printing equipment, and will look to develop inks for this field as well. Dover Corporation acquired JK Group, which includes the Kiian Digital, Sawgrass and J-Teck 3 ink brands. Sensient Imaging Technologies acquired Xennia, which manufactured textile inks.
These moves provide a clear indication that packaging and inkjet are markets loaded with opportunities. In particular, the flurry of textile inkjet acquisitions is reminiscent of the moves made nearly a decade ago, when INX International Ink and Nazdar acquired inkjet specialists Triangle Digital and Lyson, respectively. Those moves worked out quite well for the companies that acquired new technology-rich businesses, and these recent acquisitions offer potential paths for companies for 2016 and beyond.
As I note in “The 2015 Year in Review,” which begins on page 16, there are a few interesting trends that can tell us more about the coming year. The first of these is consolidation throughout the printing supply chain.
Understandably, these mergers and acquisitions occurred in growth areas. On the printing side, this means packaging: RockTenn and MeadWestvaco formed WestRock, the second-largest consumer packaging printer, with combined sales of more than $15 billion. Ball Corporation is poised to acquire Rexam, which would become the third-largest consumer packaging printer, with nearly $15 billion in sales.
Ink manufacturers also made acquisitions in growth areas, notably the digital textile market. EFI acquired Reggiani Macchine, a leader in textile printing equipment, and will look to develop inks for this field as well. Dover Corporation acquired JK Group, which includes the Kiian Digital, Sawgrass and J-Teck 3 ink brands. Sensient Imaging Technologies acquired Xennia, which manufactured textile inks.
These moves provide a clear indication that packaging and inkjet are markets loaded with opportunities. In particular, the flurry of textile inkjet acquisitions is reminiscent of the moves made nearly a decade ago, when INX International Ink and Nazdar acquired inkjet specialists Triangle Digital and Lyson, respectively. Those moves worked out quite well for the companies that acquired new technology-rich businesses, and these recent acquisitions offer potential paths for companies for 2016 and beyond.