Merisis Advisors advises Alia Group on the divestment of its IT Services company – Alia Premedia to Diadeis, a French multi-national company

02 May

Merisis Advisors advises Alia Group on the divestment of its IT Services company – Alia Premedia to Diadeis, a French multi-national company

Alia Premedia, an IT services Company and the leader in Pre media packaging vertical in India  becomes part of the Paris headquartered pre media services company Diadeis. Alia Premedia has many big FMCG companies including Unilever, Kraft, GSK as its clients.

Merisis Advisors, an M&A focused investment banking advisory firm, were the exclusive advisors to this cross-border transaction.

Alia Premedia to Diadeis

The acquisition witnesses Diadeis’ entry into Asia, and helps them combine Diadeis’ technological skills and international experience with Alia’s expertise, bringing their vast client base under one roof including big players like Unilever, Cadbury-Kraft, Nestlé, Danone, L’Oréal, GSK, LVMH, Renault to name a few. Together Alia and Diadeis will build the business to offer global and customized solutions to Indian FMCG & Auto majors making it amongst the top 5 firm in the 2 billion $ Pre Media  IT services industry. Diadeis will obtain 100 per cent control over the next few months. As per Business Standard, Diadeis, which has annual revenue at about $30 million, is known to have spent between $10 million and $11 million for the initial controlling stake. Both the companies, however, did not disclose the deal value.

Post acquisition, Diadeis will infuse more capital to strengthen Alia’s operations and technology. The Indian unit will focus on new opportunities in markets like China, Singapore, including options for tuck-in acquisitions. Diadeis will also use the Indian centre as a design hub for European markets. According to industry estimates, production cost of pre-media designs in Europe is four to five times higher in Europe as compared with that of India.
Commenting on the merger Mr. Sanjeev Malhotra, founder Alia Group and promoter Alia said, “We believe this is a win-win for both. Alia with its strong Asia, Middle East and South Africa presence will complement and enhance Diadeis’s global footprint”.

Jean-Charles Morisseau, chairman of Diadeis, adds, “More and more brand owners are thinking their packaging production on a large geographical scale, trusting a supplier with a brand or a business unit globally. With the addition of Alia’s skills and expertise in India, Diadeis reinforces its position as a top player in the 2 billion $ pre-media market.”

Mr. Sethunath P, Managing Director, Diadeis India said, “We believe this deal will provide a strong platform for future revenue and growth in earnings, whilst offering exceptional value to stakeholders of both Alia and Diadeis.”
Mr. Sumir Verma, Managing Director, Merisis Advisors said “The Alia deal highlights the increasing interest in specialized IT plays and the resurgence in interest in the IT outsourcing story..” He further added “Merisis has focused on this opportunity leveraging the deep expertise that the team has in the IT / ITES sector..”

About Alia Group:
Alia Group is a diversified business group in the space of Marketing Services. It is an innovation-focused enterprise that functions at the intersection of Knowledge, Brands and Markets. This makes it the 3rd divestment for the Sanjeev Malhotra led Alia Group (previously he has divested to Future Group‘s Kishore Biyani and the Anand Deshpande led Persistent Systems).

About Diadeis:
Diadeis is one of the top global premedia agencies, and it offers a comprehensive range of graphic creation, prepress and brand lifecycle technology services. Headquartered in Paris, the company is present in countries all over Europe, Asia, the Americas, Middle-East and Africa, and serves clients from more than 60 countries. For more information, visit www.diadeis.com.

About Merisis Advisors:
Merisis Advisors is an investment banking advisory firm, offering independent advisory services to emerging growth and mid-market corporate clients and family offices, on mergers and acquisitions as well as fund raising activities.

For more information please visit us at www.merisisadvisors.com or contact sumir@merisis.in