Monotype Imaging Holdings Inc. (Nasdaq: TYPE), a leading provider of
typefaces, technology and expertise for creative applications and
consumer devices, today announced it has acquired FontShop International
GmbH of Berlin, Germany, and its U.S. subsidiary, FontShop International
Inc., based in San Francisco. The transaction also includes the
FontFont® typeface library, FontShop AG of Berlin, the largest
distributor of the library, and 13 typeface families principally
designed by renowned typeface designer and co-founder of FontShop, Erik
Spiekermann. Many of Spiekermann’s designs, such as the FF® Meta®
typeface family, are used extensively by brands and publications across
the globe.
With the acquisition of FontShop, Monotype expects to grow its customer
base, expand its typeface IP and provide additional value to creative
markets, particularly in Germany, which is widely recognized as one of
the world’s strongest regions in design. Monotype’s global reach,
financial strength and passion for type, combined with FontShop’s
complementary typeface expertise, industry relationships and premier
typeface collection, is expected to strengthen Monotype’s ability to
serve global markets and deliver high-quality, branded experiences
across every screen, platform or media property.
“As a company dedicated to type, we’re excited about the addition of
FontShop, another company with design and type in their DNA,” said Doug
Shaw, president and CEO of Monotype. “FontShop’s strong relationships
with typeface designers, acute knowledge of the creative professional
community, high-quality IP, strong e-commerce business and highly
regarded TYPO events, will add immediate value to our business and help
us continue on our mission of being the first place to turn for
typefaces, technology and expertise.”
With more than 2,500 typefaces, FontShop’s FontFont library has a
reputation of being one of the most prestigious type collections in the
world, representing contemporary design that is viewed by the industry
as original and on trend, promoting creativity, playfulness, ease-of-use
and high quality. FontShop’s annual TYPO conferences are held in Europe
and the U.S., and bring together industry luminaries and professionals
who present and share insights on typography, design and visual
communication. Monotype intends to continue the TYPO events.
“After 25 years of fruitful cooperation and partnership, I am really
looking forward to the collective expertise that we’ll be able to
deliver to the market as FontShop becomes a part of Monotype,” said
Petra Weitz, general manager of Monotype Berlin and former CEO of
FontShop. “We know each other’s strengths and together we can better
serve the type and design community in ways that we weren’t able to do
as single, standalone organizations. I am excited about the
possibilities moving forward.”
Erik Spiekermann, typeface designer and co-founder of FontShop said, “As
a typeface designer who cares deeply about the industry in which I work,
I have watched Monotype not merely survive, but grow and prosper. They
have become respected experts in the business and the technology of
type. Having my typefaces become part of the Monotype foundry will make
sure that they, as well as the other FontFonts, will benefit from
Monotype’s strengths. The industry-at-large will be stronger once
FontShop adds its creative prowess to Monotype’s business.”
Transaction details
The deal is structured as three
transactions with an aggregate cash purchase price of approximately $13
million. Monotype will acquire FontShop’s annualized revenue stream of
approximately $9 million, which should generate approximately $1.5
million in annualized net adjusted EBITDA. Transaction and integration
costs of $3 million are expected to be incurred in the first year
subsequent to the transaction date.
Contacts
Monotype
Amy Peterson, 781-970-6070
amy.peterson@monotype.com
or
Investor
Relations contact:
Monotype
Chris Brooks, 781-970-6120
Chris.brooks@monotype.com
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