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CyberMedia acquires 49 per cent stake in Publication Services
This acquisition will provide CyberMedia with access to PSI’s client base and team of experienced US-based professionals and help it grow its content outsourcing business
CyberMedia, one of South Asia’s largest speciality media houses, recently acquired a 49 per cent stake in Publication Services (PSI) through its wholly owned US subsidiary, CyberMedia India LLC. PSI is a US based content services company, which provides a range of book and document production services to publishers. PSI is located in Champaign, Illinois, and earned revenue of US$ 2.7 million in fiscal 2006.
The acquisition will provide CyberMedia with access to PSI’s client base and team of experienced US based professionals and help it grow its content outsourcing business. PSI’s clients include McGraw-Hill, Cambridge University Press, Harvard University Press, Elsevier Science, John Wiley & Sons and Oxford University Press. PSI will be able to expand its scope of projects to its clients through this tie up and also acquire new clients by providing cost effective content services.
Commenting on the development, William Stout, chief executive officer, PSI, says, “The alliance between CyberMedia and Publication Services combines the cost competitive, high quality typesetting, graphics and proofreading skills of CyberMedia with the editorial expertise, project management skills and US client base of PSI.”
Rajeev Seth, president, CyberMedia Services, says, “This partnership will provide qualitative publishing services worldwide and enhance profitability for both companies. It will have a significant impact in the publishing services outsourcing domain across a range of platforms.”
According to industry estimates, the Indian market for publishing outsourcing is expected to grow at a CAGR of 38 per cent from US$ 200 million in 2005 to US$ 1.1 billion by 2010. This growth will be driven by high quality publishing at competitive prices and the availability of a trained workforce proficient in the English language. The global opportunity for publishing outsourcing is estimated to reach US$ 8.2 billion by 2010.
CyberMedia has an option to acquire 100 per cent interest in PSI in three years’ time. It has a team of 130 professionals in India with expertise in original content creation, design, typesetting, data conversion, archiving and digital asset management.
© 2006 agencyfaqs!