Courier Renegotiates to Acquire Controlling 60% Interest in Brazilian Digital Textbook Printer
NORTH CHELMSFORD, MA—August 8, 2014—Courier Corp., one of America’s leading innovators in book manufacturing, publishing and content management, today announced that it has renegotiated its agreement with Digital Page Grafica e Editora, a digital textbook printer based in Sao Paulo, Brazil. Under the revised terms, Courier will hold a 60 percent interest in Digital Page in place of the original 40 percent for the same $9 million investment amount as previously agreed, following the closing of the restructured transaction. The closing is expected to take place by the end of the calendar year.
Last October, Courier entered into an Investment Agreement to acquire a 40 percent equity interest in Digital Page for approximately $9 million. Subsequently, Courier funded bridge loans to Digital Page totaling $4.5 million, secured by a pledge of 40 percent of Digital Page’s equity interest. The bridge loans were to be credited toward the purchase price upon the closing of the Investment Agreement and matured on June 18, 2014.
As a result of Digital Page’s financial condition and inability to fulfill certain closing conditions set forth in the Investment Agreement, Courier entered into negotiations with the founder of Digital Page to restructure the investment, which concluded with mutually acceptable terms.
The agreement with Digital Page complements Courier’s agreement to license a version of its proprietary textbook customization platform to Santillana, which already has its own long-term printing and book manufacturing agreement with Digital Page. Through this three-way relationship, Courier hopes to extend its North American market leadership in customized four-color textbooks to South America’s largest education market.
About Courier Corp.
Courier Corp. is America’s second largest book manufacturer and a leader in content management and customization in new and traditional media. It also publishes books under three brands offering award-winning content and thousands of titles. Founded in 1824, the company is headquartered in North Chelmsford, Massachusetts.
Source: Courier Corp.