South West Business Acquisition Is Part Of 5-Year Growth Plan
Press Release – August 2017
Leading independent franking machine supply, installation and servicing company, The Mailing Room (TMR), of Bury, Greater Manchester, has acquired a Westcountry counterpart, Mailing Systems Limited (MSL) of Weston-super-Mare, adding around twenty per cent to its existing customer base. The purchase forms part of TMR’s strategic plan to double the size of the business within five years. MSL’s owners, Martin and Wendy Randell, are selling up and taking early retirement and felt that the Bury company dovetails neatly with their business philosophy, with a customer-focused approach and comprehensive provision of post room equipment and supplies.
Headed by ex-Lancashire County cricketer, Ian Davidson, who was formerly President of Mailing Solutions Europe for major equipment manufacturer Pitney Bowes, TMR currently employs around 60 experienced personnel, divided across head office support and technical staff and field-based account managers and service engineers. Established in 1998, the company initially built up a strong market presence in the public sector, providing ‘best value’ mailroom equipment to government, healthcare and educational organisations, later diversifying into the private and charity sectors, dealing with some 7,000 customers, mailing between 5 and 5,000 letters and packages a day. MSL clients have a similar profile and the South West firm’s database is being integrated with TMR’s records, to ensure that technical, after-care and consumables needs are met seamlessly.
“We look forward to celebrating our forthcoming twentieth anniversary with a bigger, better company and a broader customer base, which equips us for the challenges ahead,” says Ian. “This acquisition broadens our geographical reach in the South West and Wales, positioning us for further regional growth through a ready-made support infrastructure. We shall be offering MSL accounts the same level of mailroom management consultancy and technical support our customers expect, together with improved maintenance packages and offers on print ink cartridges and other consumables.”
Like MSL, the Bury firm is an authorised Royal Mail provider of mailroom equipment inspection, repair and maintenance, as required for an on-site franking licence, and TMR’s service delivery team will be joined by a senior MSL engineer to provide next-day local support. The Mailing Room supplies mostly Pitney Bowes-powered franking machines, tailored to user requirements, and their new customers will be offered the latest mailroom technology, so as to enjoy remote data diagnostics, online technical support and cost-effective OEM-compatible inks.
In addition to a full spectrum of digital franking machines, all of which are Mailmark compliant to provide the lowest possible postage rates, TMR supplies folder inserters for bulk mailings, automated letter openers and document shredders, and mail scanners to safeguard against postal terrorism. Whereas the smaller MSL organisation sub-contracted the maintenance of more sophisticated franking systems and high volume folder inserters to the manufacturers, the Bury company carries out servicing and repairs in-house, ensuring a faster turnaround and minimal machine downtime.
The Mailing Room’s acquisition was supported by the Royal Bank of Scotland’s Corporate Transactions team, which provided knowledgeable financial support from the bank’s Manchester office, building on a long-standing association. TMR was advised on the transaction by DTE Corporate Finance, also of Manchester, with specialist input from director, Liam Glennon.
“The acquisition of Mailing Systems Limited is a great move for The Mailing Room,” comments Stuart Watson, Director, Royal Bank of Scotland Corporate Transactions. “The two businesses are closely aligned and their integration will result in a very strong company. I am very pleased that we have been able to back this deal and support The Mailing Room in achieving its growth objectives.”