Business Wire - June 25, 1997
Imation Corp. today announced that it has acquired Imaginet Inc. (Minneapolis, Minn.), a privately-owned provider of Internet services to manufacturing and service-based companies.
Terms of the sale were not disclosed. Imation does not expect any material impact to its revenues, income and earnings per share in 1997 as a result of this acquisition.
Fueled by the technology development capabilities of Imaginet and Imation's global position and customer base in the imaging and information industry, the company has created Imation Internet Services, a new business that will provide its printing, graphic arts, data storage and medical imaging customers with the technologies and services needed to increase revenues, improve customer loyalty and reduce costs using the Internet and Intranets.
According to Jim Betlyon, director, Imation Internet Services, the creation of the new business reflects Imation's strategy of acquiring skill sets and technologies that will enable the company to deliver high-value imaging and information solutions.
"We are accelerating the alignment of Imation with our customers' need to use Internet technologies to increase revenue and reduce costs," said Betlyon. "By combining Imation's understanding of distribution channels in the imaging and information industry with the proven Internet expertise of Imaginet, we will deliver a wide range of high-value Internet-enabled solutions that will help our customers more efficiently sell their products globally."
Scott Litman, currently president of Imaginet, will head the new Imation business.
According to Litman, the increasing pervasiveness of electronic commerce is creating growing demand for customized business applications that connect suppliers and their customers using a variety of Internet technologies.
"By integrating our understanding of customer needs, our existing product portfolio and the resources of Imaginet, Imation is well positioned to deliver a unique, high-value service to our customers," said Litman.
In addition to consulting and web site design, Imation will provide programming (HTML, Java, CGI, Perl, etc.), database integration (Oracle, ODBC, WebObjects, Lotus Domino/Notes), creative graphics and text capability, and the implementation of new business models using the Internet and Internet-related technologies.
Founded in 1991, Imaginet employs approximately 20 people.
Imation supplies a variety of products and services worldwide for the imaging and information industry, specializing in imaging and data storage applications. The company generated revenues of approximately $2.3 billion in 1996. Imation employs 9,700 people and is based in Oakdale, Minn.
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