Avery Dennison Corporation announced that it completed its acquisition of Paxar Corporation following the approval of the transaction by Paxar's shareholders at its Annual Meeting on June 14, 2007.
"This acquisition will strengthen a dynamic and important part of our business," said Dean Scarborough, president and chief executive officer of Avery Dennison.
"The combination with Paxar expands our presence in the growing retail and brand identification market, enabling us to provide better products and services to our customers and allowing us to more quickly tap into new segments of the market including retailers serving local customers in emerging markets such as China and India."
On March 22, 2007, Avery Dennison announced a definitive agreement to acquire Paxar for $30.50 per share in a cash transaction valued at approximately $1.34 billion.
With the acquisition of Paxar, Avery Dennison's Retail Information Services (RIS) business is expected to represent about 24 percent of Avery Dennison's revenues up from 12 percent before the combination.
Paxar reported sales last year of $881 million. Avery Dennison said it will provide additional information on the anticipated financial benefits of the transaction, including expected sources and timing of cost synergies, during its regularly scheduled quarterly earnings release on July 24, 2007.
Rob van der Merwe, chairman, president and chief executive officer of Paxar Corporation, announced that he will be leaving following the close of the transaction.
marketing@alchempro.com
