U.S. office-upplies giant Staples in June won its battle to buy Corporate Express after the Dutch firm agreed to a sweetened bid of $2.65 billion and ended its own deal to buy Lyreco of France. The Staples/Corporate Express combination will have annual revenues of $27 billion with more than 94,000 employees in 28 countries.

“We have tremendous respect for Corporate Express, and we know they share our passion for outstanding customer service,” says Staples CEO and chairman Ron Sargent. “Bringing together these two great companies is a win for customers, employees and shareholders, and I look forward to working with [Corporate Express CEO] Peter Ventress and his team.” Some buyers, however, don't share Sargent's enthusiasm for the acquisition.

Staples in June won European Commission approval on the deal after U.S. and Canadian regulators gave it their blessing. According to Reuters, Staples has not detailed any major cost cuts or job losses as a result of the merger, expected to close in July.

Staples' purchase of its smaller rival Corporate Express gives Staples a much broader presence in Europe and knocks out yet another supplier in the ever-shrinking array of office supply companies—now effectively down to three: Staples, Office Depot and Office Max—leaving buyers with fewer choices in their bulk office buy.

Already the world's biggest office-supplies retailer, Staples has pursued Corporate Express for four months, aiming to build direct sales to companies and counter slowing demand from U.S. consumers and small businesses. Reuters reports that analysts believe the marriage makes strategic sense and could lead to big savings in a slowing U.S. economy against such rivals as Office Depot.

In a statement from Framingham, Mass., headquarters, Staples says the combination will establish a contract business for Staples in Europe and Canada, while fueling Staples' North American Delivery business in the U.S. The combination also will extend Staples' geographic reach to Australia and New Zealand.

In a statement from Amsterdam headquarters, Corporate Express CEO Peter Ventress said he will become president of Staples International, overseeing Staples' business outside of the U.S. and Canada and will play a key part in managing the integration of the two businesses going forward. He will report to Sargent.