Under the terms of the deal, the £4m-turnover APS will be merged with Abstract, in which Annodata has taken an unspecified equity stake.

The enlarged Abstract Group, which has a projected turnover of £9m after the merger, has remained a separate trading company, but has changed its name to Abstract – an Annodata company, to reflect Annodata's shareholding.

Both companies are currently located in neighbouring premises in Hertfordshire. Annodata also has a 2,787sqm production facility in Houghton Regis, Bedfordshire, along with a central London sales and digital production facility which are also set to merge as part of the deal.

Abstract Group managing director Alan Harbison and sales and marketing director Simon Breeze both retain their roles, while Philip Hutton joins Abstract from Annodata as operations director.

Harbison said: "Whilst our traditional print services are very strong, our overall marketing services offering is continually growing – none more so than in the areas of digital and social media.

"Those companies who can embrace the change, whilst investing in the future, will emerge as the new top level service providers. The combining of our two groups makes an environment where we can achieve all of the above, therefore I am delighted for all our customers and staff."