Mercian Labels has acquired a non core element of Computype Europe’s business, its variable barcode labels arm.
Mercian Labels has completed the acquisition of the variable content barcode label business from Computype Europe, having undergone examination to ensure that it could offer a smooth take over for what can be mission critical labels.
Among the customers that Mercian is taking on are organisations handling medical samples needing to be matched to patients, or to be identified through a manufacturing process. It amount to around £1 million of business and adds to Mercian’s expertise in this area.
Managing director Adrian Steele says: “The areas involved require critical specialist constructions of adhesives, inks and substrates, and over our 50 years of growth we have a developed a high level of technical expertise in them. Computype have nurtured their relationships in these areas over a number of years, and this deal represents a careful handover of valued customers to a trusted manufacturer as they look to strategically focus in fewer core markets.
“We have recently invested in state of the art equipment to expand our world class capabilities in high volumes of variable data and are pioneering development in intelligent industrial automation. We have a lot to offer customers like these.”
Mercian will bring some specialist equipment from the Computype Europe plant in Hull as well as a limited number of people.
The move frees Computype Europe to focus on core market sectors, a strategy that emerged after a strategic review of the business, and a decision to shed its non core product lines. “They need to be sure that their customers would be in safe hands,” says a Mercia spokesman.
Steele adds: “We look forward to saving our new customers in the most exacting variable barcode label markets there are, including blood transfusion, automative, library and industrial segments.”
Mercian Labels underwent its own strategic review as it marked its 50th anniversary last year, aiming to achieve world class manufacturing status. Part of the review concluded the need for targeted acquisitions. Further purchases are therefore on the cards.