GLOBAL - Avery Dennison has announced a definitive agreement to acquire the European business of Mactac from Platinum Equity, a California-based private equity firm, for the purchase price of EUR200 million including assumed debt.
With 2015 year-end run-rate revenues of EUR147 million and approximately 470 employees, the business is a leading manufacturer of high-quality pressure-sensitive materials, serving several high-value segments, including graphics, specialty labels and industrial tapes. Mactac’s core product lines complement Avery Dennison’s existing graphics portfolio.
With a manufacturing facility in Soignies, Belgium, along with sales offices and warehouses in Europe and Asia, the Mactac business expands Avery Dennison’s global footprint and provides needed capacity to support its growth. Through export sales, Mactac Europe also serves customers in South America, Asia Pacific, the Middle East, and North Africa.
“The acquisition of Mactac Europe enhances our competitiveness in high-value graphics, where we have sustained above-average growth over the past few years,” said Dean Scarborough, Avery Dennison chairman and CEO. “Known for high product quality and outstanding service, Mactac complements our existing business with a strong brand and loyal customer base, expanding our product offering, capabilities, and distributor network.”
Avery Dennison will fund the acquisition with existing cash and credit facilities. The acquisition is expected to close by August 2016, subject to customary conditions and approvals.
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