Canadian packaging solutions provider CCL Industries has completed the previously announced acquisition of Avery Dennison's Office & Consumer Products (OCP) and Designed & Engineered Solutions (DES) businesses for $500m.
Following the acquisition, the OCP business will discontinue using its former divisional identity of Avery Dennison and trade as ‘Avery’ becoming a publicly reportable operating segment of CCL, with effect from the third quarter of 2013.
Avery’s DES business will be integrated into and add to the reporting segment of CCL Label.
According to CCL, acquired operations that are involved in the automotive and consumer durables markets will trade as CCL Design alongside the company’s existing German business.
Remaining DES facilities will serve as additions to the market sector business units of CCL Label, and CCL Container will continue as the third reporting segment of the company.
The net sale proceeds of about $400m will be used by Avery Dennison to repurchase shares and make an additional pension contribution.
The acquisition was originally announced in January 2013. Avery’s OCP business supplies printable media and other products, and the DES segment manufactures custom pressure-sensitive labels and coated films for specialty packaging, durable goods and electronics.
CCL Industries operates 87 production facilities in 25 countries on five continents with corporate offices in Toronto, Canada, and Framingham, Massachusetts.