Irvine’s Printronix Inc., a maker of printers for manufacturers and retailers, is set to buy the assets of a bankrupt competitor.
Printronix is set to buy assets of Chantilly, Va.-based TallyGenicom LP, which makes printer supplies and parts, as well as toner, ink and ribbons for use with other printer brands.
The company filed for bankruptcy protection and plans to sell its U.S.-based assets to Printronix.
TallyGenicom said Tuesday it’s seeking court approval to name Printronix as the lead bidder in an auction to sell off parts of its business to repay creditors.
The sale is expected to take about 45 days.
“Printronix respects TallyGenicom as a competitor and recognizes its printer technologies complement our product portfolio,” said Chief Executive Robert Kleist. “Should we gain approval to acquire these TallyGenicom assets, we will welcome the opportunity to offer a synergistic product portfolio to supply-chain printing customers worldwide.”
The company didn’t say which of its U.S. assets Printronix is set to buy. It has manufacturing and office sites in Washington, Virginia and Texas.
Printronix said a transition team will work with TallyGenicom should the deal be approved.
The company expects some TallyGenicom employees to join Printronix, but didn’t elaborate.
“Printronix will make final staffing decisions upon completion of the transaction,” the company said in a statement.
TallyGenicom’s printers are used in healthcare, transportation, manufacturing and retail.
Printronix has been laying low for the past year or so after it went private in a $108 million buyout by San Francisco-based private equity firm Vector Capital in 2007.
