UK-based 4imprint Group, the parent company of Counselor Top 40 distributor 4imprint (asi/197045), has sold its European supplier division, SPS. The deal, which is valued at £7.25 million (approximately $12 million), transfers SPS to ENSCO 1024 Limited, a company backed by equity firm Maven Capital Partners. The sale of SPS means 4imprint will put greater emphasis on its traditional distributor business – most of which is based in the company’s North American division.
“With this sale and the sale of Brand Addition in 2012, the Group has gone from three divisions down to one as part of a plan to focus our time and resources in support of the strong growth within the 4imprint Direct Marketing business,” Kevin Lyons-Tarr, president of 4imprint, told Counselor.
Between 2008 and 2012 alone, 4imprint’s North American ad specialty sales rose by 50.4%. In February of 2012, 4imprint sold its European Brand Addition and Kreyer Promotion Service companies to Miami, FL-based private equity firm H.I.G. Europe Capital Partners for roughly $38 million. The SPS sale, which will net 4imprint £5.8 million ($9.5 million) after transaction costs and buyouts, is the UK company’s latest move in an effort to concentrate more on the North American market.
Ranked as the fifth largest distributor in the industry, 4imprint reported 2012 North American ad specialty sales of $256.5 million, a 14.3.% year-over-year increase. Last month, 4imprint said in a public earnings statement that its 2013 sales rose by 15% in its North American division, reaching revenues of $294.9 million.