FedEx Buys Kinko's Franchise
MEMPHIS, TN—FedEx Corp. and Clayton, Dubilier & Rice (CD&R) have announced an agreement for FedEx to acquire Kinko's for $2.4 billion in cash. Kinko's operates approximately 1,200 stores worldwide, generating annual sales of about $2 billion. Funds managed by CD&R, a private equity investment firm, currently owns about 75 percent of Kinko's outstanding shares. Once the transaction is completed, all Kinko's locations will offer new or expanded FedEx shipping options to small- to medium-size businesses and to large corporate customers. FedEx has been Kinko's exclusive shipping provider since 1988.
Scitex Selling Digital Printing
TEL AVIV, ISRAEL—Scitex Corp. and Eastman Kodak have signed a definitive agreement that sees Kodak acquire the assets and business of Scitex Digital Printing (SDP) for $250 million in cash. As part of the agreement, Scitex will retain $14 million of SDP's expected $22 million cash balance at closing, raising the total to $262 million. Scitex intends to make a significant cash distribution to its shareholders following the closing, with terms of the dispersement hinging upon corporate, legal and other variables.
Quebecor, Daily News Renew
MONTREAL—Quebecor World has reached an agreement on a new three-year contract to print the Sunday TV supplement, New York Vue, for the New York Daily News. This agreement is an extension of a five-year relationship between Quebecor World and the Daily News. In addition to New York Vue, Quebecor World will also print other specialized Sunday supplements for the Daily News. Quebecor will print more than one million copies of the New York Vue, serving three million readers every Sunday.
EFI Announces Repurchase Plan
FOSTER CITY, CA—Digital imaging and print management solutions provider Electronics for Imaging (EFI) announced a stock repurchase plan that will see it acquire up to $50 million in common shares over the next 12 months. The purpose is to mitigate the dilution from the issuance of shares under the company's employee stock option plans and to offset the approximately 200,000 shares issued in the Printcafe acquisition.