CCL Industries Inc., a maker of specialty packaging, agreed to acquire two businesses from Avery Dennison Corp., including its label-printing unit, for $500 million in cash.
A syndicate of banks has committed to provide debt financing to complete the deal, Toronto-based CCL Industries said today in a statement.
CCL Chief Executive Officer Geoffrey Martin said the acquisition is the largest in the company’s history and bolsters its labels offerings. The Avery Dennison units had combined revenue of $910 million last year, according to the statement.
Avery Dennison, based in Pasadena, California, rose 7.9 percent to $39 at 8:19 a.m. in New York. CCL was little changed yesterday at C$45.72 in Toronto.