Major acquisitions predicted for Office Supplies industry

Released 23/08/2010

Market analysts Plimsoll have conducted research that shows the UK's Office Supplies industry to be seriously fragmented.

They researched the top 1000 companies and found that 141 were in trouble, 347 were powering ahead and a further 214 are set to be taken over.

David Pattison, author of the new Plimsoll Analysis - Office Supplies explains, "Having rated 141 struggling companies as in Danger and given 347 others a Strong rating, I am surprised at the gulf in performance in the market. Despite all other factors, success still comes down to how well a company is run"

When pressed on what the consequences of this polarisation in the market will be, Pattison's said, "Acquisitions. The market, in the current economic climate cannot support this many companies. There has to be further, more radical consolidation in the market. Strong companies will be buying up distressed competitors in the next 12 months".

The southern home-counties are the area with the most companies at risk with 14 falling into the ‘in danger' category.

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