Finland’s Itella Group has sold its printing, enveloping, scanning and archiving business Itella Information A/S to the Danish IT and print services company KMD.
The Finnish postal company is in the process of cutting EUR 100m from its operating costs over the next years as it faces increased competition and declining mail volumes.
Itella Information A/S has its offices in Hvidovre, Denmark, but its 30 employees based there will transfer to KMD’s site in Ballerup.
Providing electronic invoicing, workflow systems, scanning, printing and both physical and electronic document archiving, Itella Information A/S had a DKK 40m ($7m USD) turnover in 2010.
Under the deal, KMD will continue to carry out assignments in Denmark on behalf of Itella Group, the companies said.
Heikki Länsisyrjä, senior vice president of Itella Group, said: “As part of our pan-European set-up, it is important to us that we still have a high quality supplier in Denmark who can carry out tasks for the pan-Scandinavian customers we have in the group.
“By having KMD as a partner in Denmark, our cross border offer is becoming stronger and we strengthen ourselves as a value provider,” Länsisyrjä added.
KMD, which took over operations at Itella Information A/S effective December 30, said its acquisition was part of a growth strategy that seeks to build a strong position in the printing market, particularly to attract municipal customers.
Lars Monrad Gylling, KMD chief executive, said: “We see a good strategic fit between the two business units, and since we still have ambitions to grow in the printing market, the acquisition of Itella Information is a natural move for KMD.”
Source: Post&Parcel/Itella Group/KMD
Tags: Denmark, Finland, Itella Group, Itella Information
