Elanders acquires Mentor Media to boost supply chain services and Asian presence

Elanders AB has acquired Singapore-based Mentor Media Ltd., strengthening its global supply chain services offering. The acquisition is projected to increase Elanders' annual net sales from approximately SEK 2.2 billion to SEK 3.5 billion and grow its employee base from around 1,900 to 3,600.

Mentor Media will be consolidated into Elanders starting January 1, 2014, operating as a separate subsidiary. The company is expected to contribute significantly to Elanders' profit in 2014. The purchase price is approximately SEK 312 million on a cash- and debt-free basis, financed through external debt and a new rights issue.

"The acquisition of Mentor Media makes Elanders a complete supplier in Supply Chain," said Magnus Nilsson, President and CEO of Elanders AB. He highlighted that this move represents a step up the value chain and expands the company's offering to global customers, while reducing exposure to traditional print. Elanders is now focusing on three core areas: Print & Packaging Solutions, Supply Chain Solutions, and e-Commerce Solutions. Mentor Media's strong presence in Asia means that approximately 40 percent of Elanders' net sales will now be generated in the region.

Mentor Media, founded in 1984, specializes in value-added services for the electronics and computer industries, with a focus on short lead times and data reporting. Its operations span eight countries, with key markets in China, Singapore, India, and the USA. The company provides services including sourcing, warehousing, logistics management, customized manufacturing, order fulfillment, distribution, reverse logistics, and repair services.