Salmat has announced that it is selling its Business Process Outsourcing (BPO) division to Fujifilm for AU$375 million.
Salmat received an unsolicited approach earlier this year about the acquisition of the division, which sparked what the company said was "considerable" interest from "a range of parties". This division provides outsourcing of bulk and direct marketing communications.
The sale of the division would simplify Salmat's mission to be a "front office" communications specialist, according to the company, allowing it to focus on building scale and expertise in the digital services and communications market. Salmat and Fujifilm also intend to work together, with Salmat hoping that it will be able to use Fujifilm's strong Asian presence as a springboard to launch products into the market.
The companies have set up a transitional services agreement to make sure that clients are looked after during the transition.
"We have taken the business a long way in recent years, but we also recognise that the next stage of BPO's development is better suited to an owner with global reach and broader outsourcing ambition," Salmat CEO Grant Harrod said in a statement.
Salmat also released results for the year ending 30 June 2012 today, achieving group revenues of AU$823.4 million and earnings before interest, tax and amortisation of AU$80.6 million, for which the BPO arm contributed AU$316 million and AU$49.5 million, respectively. The revenues were 4.6 per cent down year on year, with the lower numbers mainly its contact centres division.
The purchase needs approval from the Foreign Investment Review Board before it can go ahead.