M&A Conference Projects Growth Via Acquisition

ALEXANDRIA, VA—Executives and owners from a wide variety of printing and graphic communications companies who recently gathered for the inaugural “NAPL/MFSA Mergers & Acquisitions Conference” heard from leading industry professionals and industry peers about the most pressing issues facing the industry and what they can do now to get out in front of and benefit from these trends.

Jointly produced by the National Association for Printing Leadership (NAPL) and the Mailing & Fulfillment Services Association (MFSA), the event focused on the structural transformation of the industry, resulting in the contraction and consolidation of industry firms. This trend, according to NAPL, is likely to increase in intensity and will last for several more years as the industry continues to contract and redefine itself.

Setting the stage for the two-day conference, NAPL Senior Vice President and Chief Economist Andrew Paparozzi revealed the results of a recent NAPL study on M&A trends and showed how business leaders are thinking strategically about opportunities for growth through acquisition. “Conditions are certainly favorable for this type of activity,” he said. “Forward-looking owners are realizing growth opportunities and are finding creative ways to enhance and expand their businesses.”

Citing examples from an NAPL white paper on the study, which will be released this fall, Paparozzi said that many factors enter into the decision to pursue growth through acquisition, beyond the most obvious growing sales. “That is certainly a big issue, but there are many other corporate development objectives that may be satisfied through the acquisition process,” he noted.

“Participants in our study also cited acquisition of technical, sales and service and executive talent, technology enhancements, adding a new product/service line and geographic expansion as some of the benefits of M&A initiatives,” Paparozzi added.

Conference sessions covered tax and estate planning, private equity financing, family business issues and maximizing the value of the closely held business.