Vistaprint this morning announced that it is buying European photobook software solutions provider Albumprinter for €60 million (~$83.3 million) in cash, with up to €5 million (~$9 million) in earn-out, if certain performance-based requirements are met in calendar year 2012.
Albumprinter, based in Amsterdam, with a manufacturing presence in the Hague, has generated roughly €37 million (~$51.5 million) in revenue in the trailing twelve months ended September 30, 2011, according to a statement. Net income margin for the same period was about 8%, and EBITDA was approximately 16% (approximately €6 million).
Founded in 2003, the company today employs about 150 full-time employees, and boasts operations in the Netherlands, Belgium, the United Kingdom, Germany, France, Sweden and Norway (their consumer-facing products may be more familiar to you under the names Albelli, Bonusprint or Önskefoto). About 75 percent of its revenues come from The Netherlands.
Besides its direct-to-consumer products, Albumprinter also has an indirect sales model, for which it has partnered with retail stores across Europe.
The company raised a round of funding from a single VC, Van den Ende & Deitmers, back in 2007 (the size was never disclosed). Nedstat founder Hans Veldhuizen was also a shareholder.
Here’s how Vistaprint pitches the purchase:
This acquisition combines Vistaprint’s strengths of a pan-European customer base with Albumprinter’s specialized expertise and technology for the design and production of photo books. Vistaprint currently plans to promote the Albumprinter offering across the European market.
The acquisition will also enable Albumprinter’s customers to benefit from a much expanded product offering of personalized products that Vistaprint produces.
Albumprinter’s management and employees will join the Vistaprint team, but will continue to operate under the Albumprinter brands.
The transaction is expected to be completed within one month.