NewClients Acquires VATEX
Both Are Richmond, VA-Based Distributors
Richmond, VA-based NewClients Promotional Marketing (asi/282470) announced this morning that it has completed an asset purchase of fellow Richmond distributor VATEX America Inc. (asi/351285). According to the terms of the all-cash transaction, NewClients is retaining VATEX's current sales, account management and operations employees. It is also taking over VATEX's embroidery operation, and 12 VATEX employees are joining NewClients, bringing the company's total staff to 49.
"The acquisition of VATEX falls perfectly into our business plan of strengthening our regional and national exposure," said Teki Hall, president and CEO of NewClients. "VATEX brings an exceptional sales team with many years of experience, along with a strong diversified client list. The company has an established history of representing some of the country's largest brands and we are excited to have them join the NewClients family."
Ben Kutner, president of VATEX, said the deal with NewClients comes at the right time for both him and his company. "NewClients aligns perfectly with our core values," he said. "There is a common thread in the team atmosphere in which both companies operate. With my pending retirement, the timing was right to partner with a larger entity and NewClients was the perfect choice because of their management and operational expertise."
NewClients, a member of Counselor's Best Places to Work list, has been in business for 30 years and experienced revenue growth of 32% in 2012. The company is forecasting further revenue increases in the 40% to 45% range in 2013.