Infomedia18 Ltd, a controlled subsidiary of Television Eighteen India Ltd (a Network18 group company) has divested 100 per cent stake in Glyph International, its publishing content services business, to Cenveo Inc’s subsidiaries. Cenveo Inc is one of the world’s leading providers of content management and print production services.
As part of the agreement, Infomedia will transfer all its holdings in the Glyph subsidiaries – namely, Glyph International Ltd, Glyph International US LLC, Glyph International UK Ltd, and CEPHA Imaging Pvt Ltd to Cenveo’s subsidiaries in India and the US. Necessary approvals for the transaction will be sought. This divestment is part of Infomedia’s strategy to exit non-core businesses and deploy resources to focus on core media segments, search, Internet and directories services.
Infomedia18 plans to be the dominant player in the local search business (under the brand ‘Ask Me’ on the Internet and on phone/ mobile and directories) and magazine publishing. The divestment of the publishing outsourcing business is one of the significant steps towards that goal as proceeds from the sale would be used to further invest into and grow the core businesses. The sale also frees management bandwidth to concentrate on the core businesses. Post the rights issue completed earlier and this transaction, Infomedia18 now has a cash rich balance sheet, well positioned to support the investment led growth going forward.
BMR Advisors acted as the sole financial advisors on this deal.
Commenting on this development, Haresh Chawla, Group CEO, Network18 and Managing Director, Infomedia, said, “We are delighted to have found a good home for the team at Glyph and our customers. Cenveo has a strong presence in publishing services and will offer significant growth opportunities for our employees and continued superior services to Glyph International’s clients. Glyph International will augment Cenveo’s offshore delivery capabilities by adding scale and complementary services. Infomedia18 is committed to working closely with Cenveo group to ensure smooth integration of the business. The transaction will be value accretive to Infomedia18 and will allow resources to move into core media businesses.”
Robert G Burton, Senior, Chairman and CEO, Cenveo, added, “The acquisition of Glyph International significantly strengthens our market presence and end-to-end service capability in the journal and book publishing markets. Glyph International is a perfect complement to our platform and allows us to strengthen and expand the services and products we offer the customers of both businesses. We are very excited about the prospect of teaming these two companies up and we welcome the Glyph employees to the Cenveo family.”
Glyph International is one of the leading providers of publishing services in the world with offices in Bangalore, Delhi, London, and Fort Lauderdale, Florida. Glyph International is a pioneer in the development of innovative solutions for publishers, university presses, government agencies, financial and legal firms, as well as directory publishers. Its expertise in publishing services is delivered by over 550 employees and a global service and support network that spans the world.