Specialist distributor, Dynamic Supplies, has bought printer ink competitor, Toner Warehouse. Details of the deal were not disclosed.
Dynamic Supplies director, Alex Piccinini, told ARN the purchase had been logical for a variety of reasons.
"Purchasing Toner Warehouse gives us additional volume, a warehouse in Sydney and access to quality Print-Rite compatible product," he said. "We've never done a third-party product before."
While Sydney wasn't a critical location for a warehouse, Piccinini said a fourth location would help Dynamic deliver product in a timely fashion. The distributor also has warehouses in Brisbane, Perth and Melbourne.
Piccinini said the third-party ink market was growing and offered additional margins.
He predicted Dynamic would turnover about $250 million in the current financial year.
Toner Warehouse general manager, Isabel Fryer, said the buyout, which sees her company retain its identity and work autonomously, was extremely positive for both companies. She is contracted to stay in her current role for at least two years.
"I'm going to stay on for at least two years," she said. "Hopefully I'll stay for longer - Alex is a good guy to be working for."
Piccinini said Toner Warehouse's 20 staff would retain their jobs. He was currently looking to employ additional sales and warehouse staff for it. The combined entity has about 130 staff.