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2011
took a capital investment from Bayer, and became a 100 percent
subsidiary of Bayer.
Agfa realized the need to invest in digital technology and
decided to become a leading company in imaging technology
as well as the consumer photo market.
in
1982
, Agfa acquired the u.s.-based Compugraphic
Corporation and entered the graphics market, becoming a
worldwide leader for computer-controlled photographic
typesetting machines.
in
1996
and
1997
, Agfa acquired the printing plate and
proofing divisions of duPont and Hoechst Celanese and rose
to the forefront of the graphic arts industry.
in
1999
, with the acquisition of sterling diagnostic imaging,
Agfa added conventional medical imaging to its u.s. portfolio,
building on the successful market position it already had in
europe.
enter mertens. in 1999, Agfa was rapidly becoming a tech-
nology company and no longer fit into Bayer’s chemical-focused
strategy. that same year, Agfa became a public company on the
Brussels stock exchange (now euronext), and set out to fully
transition from analog to digital technologies.
How did Agfa manage the transition from analog to digital?
Gunther Mertens
: to be able to fund the innovation and
acquisitions, it was important that the company manage the
technology cycles well. For example, in graphics, the evolution
from film to offset plates to inkjet could only be achieved by
investing heavily in the development of the next cycle while still
benefiting from the cash flows of the previous cycle.
Also, Agfa divested of non-core businesses like its non-
destructive testing business, which was sold to Ge, and its
typeface business, monotype, which was sold to a private
equity investor. we were able to raise $750 million with these
two divestitures. this money was invested in the acquisition
of and partnerships with digital companies.
What was the turning point in Agfa’s digital evolution,
and what has Agfa Graphics done recently to build on
that growth?
in
2004
, Agfa spun off its consumer film business, ultimately
shedding its image as a film company. despite the fact that, at
that point, less than five percent of its business was derived from
selling film to consumers, the company was still perceived as a
film photography company in many ways.
moving forward, in
2010
, Agfa acquired Canada-based Gandi
innovations, which enabled us to significantly increase our
presence in large format inkjet printing. Now we have an even
more complete product portfolio, ranging from entry-level to
very high-end inkjet printing systems.
Last year, Agfa also acquired the Pitman Company in totowa,