EFI purchased Optitex for $52.8 million
21 June, 2016
EFI returns to it Israeli roots: One year after the acquisition of digital printing developer Matan, EFI acquires another Israeli hightech company
EFI returns to it Israeli roots: One year after the acquisition of digital printing developer Matan, EFI acquires another Israeli hightech company
American Elctronics For Imaging acquires Israeli Optitex fir $20 million in upfront cash payment and another $32.8 to be paid over a three years span. Optitex developed 3D software solutions in the fashion field (clothing and bags). The Peth-Tikwa based company’s software aims to streamline product design and development and retail process’s in the fashion industry.
“We are thrilled to add the Optitex team and its fast-growing base of industry-leading customers to the EFI family,” said Gabriel Matsliach, senior vice president and general manager, EFI Productivity Software.
Holistic solution approach
“Optitex technology, combined with EFI Reggiani digital printers, will expand our textile ecosystem and help our customers set new standards for time-to-market, on-demand manufacturing, cost efficiency and automation in the Textile industry.”
EFI’s global presence, holistic solution approach, strong professional services abilities, and growing portfolio of innovative textile industry-specific products will be of great benefit to the leading companies we serve worldwide in the fashion, automotive, aerospace and technical textiles industries. I am truly enthusiastic about what is to come for these industries in the year’s ahead.” said Asaf Landau, CEO of Optitex.
Optitex developed a 3D simulation technology combined with CAD software for pattern making. The technology accelerates product development and helps to optimize supply chain. The company employs over 100 workers. Alongside its center in Israel, the company operates offices in the US, Italy and Hong-Kong. All of the company’s employees will join EFI. CEO Asaf Landau will serve as the CEO of the new EFI Optitex group.
Californian giant with Israeli roots
EFI was founded in 1989 by Scitex founder Efi Arazi and a group of the former employees of the former flagship of Israeli high tech industry. EFI led by Israeli Guy Gecht. The company began its way with the development of the Fiery platform – an organizational printing management system.
Since 2010, Efix is gradually expanding its activities in the field of digital printing. The American company is now involved in the production and distribution of high end digital printers, wide format printers and management software for printing houses and large scale organizations. California based EFI employs over 3,000 workers worldwide. In 2015, its revenues totaled some $882 million, and it is currently has a market cap of $2.1 billion.
One year, two acquisitions
The current deals comes exactly one year after the completion of EFI previous Israel deal: The acquisition of 3D printer developer Matan. The Israeli startup produced wide format 3d printers and was acquired for some $50 million. The company was merged as is into EFI, retaining its organizational structure and all of its employees.
Matan produces produces super wide format printer based on a unique ink injection technology. It is now operating under the name EFI Inkjet Israel. Only recently, the company has signed a $700K deal to supply an Israeli printing house with printing machines as well as maintenance services and supplies.”
The company’s CEO for the last 13 year, Hanan Yossefi explained Techtime that the company’s technology was developed as a ”customer oriented solution” for the last 25 years, and is thus very efficient.
What is a “customer oriented technology”?
Yossefi: “It’s a wide range of solution intended to streamline processes and reduce their costs. For example – printing preparation time and printing speed have a considerable effect on the cost factor. We work in a UV technology – the ink dries immediately by exposure to ultra violet light. There is thus no need to wait for the ink to dry. We have developed a fast loading mechanism and even an ink reduction algorithm, all this without reducing printing quality”.
“We have a wide array of solutions that enables customers to reduce the use of raw materials. For example – our printers can compute how much raw material is left on the roll in order to maximize the use of leftovers. Most of the printing machines in use toaday waste between 5-10 meters of raw material, our machines waste less than a tenth of that. We developed a unique system that detects creases during the printing process – this systems uses an algorithm that fits the print to the creases, thus ensure that our customer will not have to reprint due to raw materials malfunctions”.
The company’s operations are all done in Israel – from R&D, through production and assembly. In the DRUPA printing exhibition held recently in Germany, the company unveiled the Quantum printing machine – a super wide format 12000 DPI printing machine.
Where there changes after the takeover by EFI?
“As part of a multinational company, we are exposed to a wide and deep range of technologies that give us new capabilities. Already before the deal, EFI was a leading player in the digital printing arena. It has customers operating dozens of machines – large customers, that we, as a small company in a small market has difficulties in reaching. The door to this world is now open. We now adjust our product to EFI’s Fiery platform – a procces that I believe will be completed within a year”.
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