Singapore Post Limited ("SingPost") today announced that it is acquiring Novation Solutions Limited ("Novation") for US$9.8M (approximately S$12.7M) through its wholly-owned subsidiary DataPost Pte Ltd. ("DataPost") Novation is a full-service security printing, document management and transaction mail provider in Hong Kong. Its core services are document printing, which includes security and commercial printing and print-related services, comprising variable-data print (VDP) and electronic direct marketing services. Besides Hong Kong, Novation is also present in China.

Said Dr Wolfgang Baier, Group Chief Executive Officer of SingPost: "In transforming SingPost, we have identified digital services as one of our five key business pillars. This acquisition is in line with our strategy to grow our digital and hybrid mail business locally and in the region."

He added: "With this acquisition, we will leverage our combined expertise for expansion into document management and digital printing. Novation will provide us with a platform for entry into VDP, insurance documents printing and other related services namely security printing and document digitisation in China and to expand our footprint in Hong Kong."

Over the years, SingPost has been expanding its digital and hybrid mail business in the region. In 2011, it acquired the remaining 30% stake in DataPost from the latter’s other shareholder, making DataPost its wholly-owned subsidiary. The same year, it acquired a 20.82% stake in Efficient, a Malaysian company which has its core business in Business Process Outsourcing.