Activewear maker Delta Apparel is expanding its digital apparel printing capabilities further with the acquisition of digital print services provider Silk Screen Ink Ltd.
The acquisition was made by subsidiary DTG2Go, the firm’s fourth manufacturing and fulfilment location in the US opened in June. The unit provides on-demand, direct-to-garment printed apparel, and is located on the Fayetteville, North Carolina campus of the company’s Soffe athleticwear subsidiary.
Secured for US$12m, the deal is expected to increase Delta Apparel’s fiscal 2019 revenue by around $15m.
“We look forward to the opportunities the acquisition of SSI Digital Print Services provides our company, including increasing our digital print capacity and enhancing our strategic footprint so that we now service over 90% of the US population with one-to-two-day shipping,” says CFO and president Deborah Merrill.
“Our vertically-integrated platform utilising Delta Apparel’s broad range of blank garments provides customers with a seamless supply chain for on-demand, digitally printed garments fulfilled directly to their consumers. This level of customer offering and consumer reach is unmatched in the digital print space. We believe the on-demand market is in a rapid growth stage and we are committed to being the leading digital print and fulfilment service provider in this evolving industry.”
Jay Butterfield, owner of SSI Digital Print Services says the transaction provides “great synergies for the company, our customers and our employees”.