MONTREAL - World Color Press Inc., the Montreal-based printing giant formerly known as Quebecor World, has agreed to be taken over by Quad/Graphics Inc. in order to create a combined company with 30,000 employees.
Quad/Graphics Inc. is currently the largest privately held printer in the United States but plans to go public in connection with the World Color takeover.
World Color Press is the publicly traded company that was formed after the former Quebecor printing business was restructured under court protection from its creditors.
An estimated value of the overall transaction wasn't released by the companies. Each share of World Color will be converted into a number of class A common shares of Quad/Graphics at a ratio that has yet to be determined.
World Color shareholders will receive shares of Quad/Graphics and end up with 40 per cent ownership of the combined business as well as two seats on its board of directors.
As of Sept. 30, the two companies had a combined debt of about US$1.7 billion.
