Kodak is to sell its flexographic packaging division, allowing it to focus on environmental plates, enterprise inkjet, workflow software and brand licensing.
The division produces and markets the Flexcel NX system of flexographic imaging equipment, printing plates, consumables and related services. For the last 12 months, the division has reported revenues of US$150 million and operational EBITDA of US$33 million. During this period, it has demonstrated strong growth, achieving a nine percent increase in revenue and 18 percent operational EBITDA growth.
Kodak noted that during the sale process, it will continue to make significant investments by expanding manufacturing capacity, developing advanced technology and increasing headcount to meet customer needs.
Clarke added: ‘Following this transaction, Kodak’s improved capital structure will allow us to increase our focus on demonstrated growth engines while continuing to invest in and provide solutions across the commercial printing, film, and advanced materials industries.’
Post-sale, Kodak will focus on the demonstrated growth areas of Sonora environmental plates, enterprise inkjet, workflow software and brand licensing. Each of these businesses has delivered growth, profitability, and strong margins, Kodak noted.
‘The company is well positioned for the future by leveraging these growth engines and continuing to maximize value in print systems, film, and advanced materials,’ Kodak clarified in a statement.
The source from Labels & Labeling