Webb/Mason and American Solutions for Business Acquire Global Docugraphix Assets
On July 18, commercial print and promotional product distributor Global DocuGraphix, and its subsidiary Global DocuGraphix USA, filed for Chapter 11 bankruptcy in U.S Bankruptcy Court, Northern District of Texas (Dallas) Division. In its filing, the company reported its estimated debts to be between $10 million and $50 million. Richard Roberson, a partner with Gardere Wynne Sewell LLP, who is representing Global DocuGraphix in its bankruptcy proceedings, said the move was forced because the company’s credit facility and working capital had run out as of July 10, 2006. Both GE Capital and Antares Capital did not renew credit notes that originally came to maturity in November 2005, and were then extended until this month. “This left the company with insufficient capital to keep normal operations going,” Roberson said.
In fact, according to the company’s Chapter 11 filing, it was determined that the company only had funds to cover wages and salary through July 15. Roberson said the firm laid off approximately 135 employees prior to its bankruptcy filing as part of a cost-reduction measure.
An auction of assets took place on July 31, and Baltimore-based Webb/Mason and American Solutions for Business, Glenwood, Minn., were among those who participated.
Webb/Mason acquired Global DocuGraphix’s Shelbyville, Tenn. operation—a printing, promotional products, office products, scanning and document management solutions provider. The Shelbyville operation has been a top producer among Global DocuGraphix’s regional sales offices, and includes Shelbyville’s ISO 9001:2000 certified warehouse. Webb/Mason said it will retain all of the office’s management professionals, and the new Webb/Mason Shelbyville office will continue to offer the same products, services and capabilities.
In addition to the Shelbyville operation, Webb/Mason also aquired TopForm Software and will retain the existing TopForm staff of 20. Based in Norcross, Ga., TopForm develops and markets multi-user operational software for print distributors internationally. Said Warner Mason, Webb/Mason president and co-founder, “Webb/Mason has been a TopForm customer for more than 14 years. Throughout our relationship, we have been instrumental in driving new solutions at TopForm, while also benefiting from its exceptional software products and customer support. Because of this established synergy, the decision to acquire TopForm was both easy and logical”