PE Deals

Data Communication Management Corp to acquire RRD Canada

R.R. Donnelley & Sons, a Chicago-based provider of multichannel business communications services and marketing solutions, was acquired in 2022 by Chatham Asset Management.

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  • The cash purchase price is C$123 million
  • RRD Canada, based in Mississauga, Ontario, offers print and related services to customers across Canada
  • Headquartered in Brampton, Ontario, DCM is a marketing and business communications company

DATA Communications Management Corp (DCM) has agreed to acquire the Canadian operations of R.R. Donnelley & Sons (RRD Canada) for a total cash purchase price of C$123 million.

As part of the agreement, DCM will acquire all the issued shares of Moore Canada Corp, a subsidiary of RRD. The deal is expected to close in the second quarter of 2023.

RRD Canada, based in Mississauga, Ontario, offers print and related services to customers across Canada, including financial institutions, retailers, insurance providers, transportation companies, government organizations and other regulated industries. The company, which employs 1,000 people, reported about $250 million in revenue in 2022.

Headquartered in Brampton, Ontario, DCM is a marketing and business communications company.

“This transaction brings together two companies with complementary operating models, best-in-class products and strong customer relationships across a broad range of industries,” said Richard Kellam, president, and chief executive officer of DCM. “RRD Canada will be an excellent strategic fit with our business and will enable us to better serve our customers by adding new capabilities to our existing offerings and accelerating our speed to market for new innovations.”

R.R. Donnelley & Sons, a Chicago-based provider of multichannel business communications services and marketing solutions, was acquired last yearby Chatham Asset Management,  a US private investment firm.

When announced in December 2021, the deal was said to be an all-cash transaction with a total enterprise value of about $2.3 billion and total equity value of about $897 million.

Clarus Securities and PricewaterhouseCoopers served as financial advisors to DCM and McCarthy Tétrault as legal counsel.