Managed print services (MPS) company, Upstream Print Solutions, has purchased another MPS provider, Cornerstone, for an undisclosed sum.
Upstream CEO, Neil Tilley, said it observed Cornerstone’s work for several years and approached them a couple times in the past to see if they were interested in selling their business.
“We were lucky enough to convince them to do it this time,” Tilley said. “We think Cornerstone is a quality provider of managed print services in our industry and we view them as a good competitor. The best way to stop them from being a competitor was to get them to become part of our business.
“We’re looking forward to our competitor’s being worried because as a combined force, we’re hopefully stronger than what were independently.”
According to Cornerstone’s website, it has been providing document technology solutions since 2002 and has about 45 staff located across Sydney, Melbourne and Canberra.
Most staff will be kept on-board, boosting Upstream’s team to about 340.
“There were a couple of staff where their jobs were transferred to Melbourne and we weren’t able to bring them across,” he said. “We’re looking forward to learning from their people and systems as well.”
Tilley explained both companies had strong similarities in terms of partnerships with companies like Lexmark.
“We’re very compatible businesses,” he said. “They focus on similar customers to us and we’re hoping their customers will remain loyal to us.”
For now, the Cornerstone branding will remain but it will transition under the Upstream entity overtime.
Tilley flagged more acquisitions were on the cards, if they came across the right type of managed print service provider that suited their business.
“They’re always tricky because you’ve got to find companies that have similar values to you where it’s going to work for the customers,” he said.
Upstream was acquired by Fuji Xerox last year, operating as an autonomous subsidiary of the Japanese printing giant.