South Carolina (US)-based apparel and accessories retailer Delta Apparel’s subsidiary brand DTG2GO has acquired considerably every asset of Silk Screen Ink, Ltd., a digital print provider, in a transaction that is worth US $ 12 million, in a bid to enhance the brand’s digital printing capability and boost one-to-two day delivery.
The company expects to increase its revenue by around US $ 15 million during the FY 2019. The acquisition will be instantly accretive to diluted earnings per share of the brand.
Deborah Merrill, CEO, Delta Apparel elucidated, the company was looking forward to the possibilities that comes along with the acquisition of SSI Digital Print Services. “It will increase our digital print capacity and improve our strategic footprint so that we now service over 90 per cent of the nation’s population with 1 to 2-day shipping,” Deborah added.
Additionally, the CEO mentioned that with the on-demand segment is growing at a fast pace, the American company wants to leverage on this demand among the shoppers and become the leading digital print and fulfilment service provider in this developing market.
Delta Apparel marked out that at the time of its fourth quarter/fiscal 2018 year-end conference call to be hosted next month, it will reveal further insights on the acquisition.
Notably, the brand reported a promotional product revenue of US $ 46.2 million last year and secured the 35th place on counsellor’s list of largest suppliers in the industry.
