CCL Industries Announces Bolt-on Acquisition for Avery

TORONTO, July 02, 2020 (GLOBE NEWSWIRE) -- CCL Industries Inc. (TSX:CCL.A) (TSX:CCL.B), a world leader in specialty label, security and packaging solutions for global corporations, government institutions, small businesses and consumers, announced today it has acquired InTouch Label and Packaging Co., Inc. (“InTouch”), a specialized short-run digital label converter based near Boston, MA.

The enterprise value of the transaction, net of cash and debt, is approximately $10.9 million. Sales for the current year ending December 31, 2020, are expected to be approximately $9.5 million with an estimated adjusted EBITDA of $2.7 million.

Geoffrey Martin, President & Chief Executive of CCL Industries, commented, “We welcome the InTouch team to Avery’s fast growing ‘WePrint’ direct-to-consumer label business.”

Forward-looking Statements

This press release contains forward-looking information and forward-looking statements (hereinafter collectively referred to as “forward-looking statements”), as defined under applicable securities laws, that involve a number of risks and uncertainties. Forward-looking statements include all statements that are predictive in nature or depend on future events or conditions. Forward-looking statements are typically identified by the words “believes,” “expects,” “anticipates,” “estimates,” “intends,” “plans” or similar expressions. Statements regarding the operations, business, financial condition, priorities, ongoing objectives, strategies and outlook of the Company, other than statements of historical fact, are forward-looking statements. Specifically, this press release contains forward-looking statements regarding expected sales and estimated adjusted EBITDA for the acquired business for the 12 months ended December 31, 2020.

Forward-looking statements are not guarantees of future performance. They involve known and unknown risks and uncertainties relating to future events and conditions including, but not limited to, the adverse impact of the novel coronavirus COVID-19 pandemic on our business, the impact of competition; consumer confidence and spending preferences; general economic and geopolitical conditions; currency exchange rates; interest rates and credit availability; technological change; changes in government regulations; risks associated with operating and product hazards; and the Company’s ability to attract and retain qualified employees. Do not unduly rely on forward-looking statements as the Company’s actual results could differ materially from those anticipated in these forward-looking statements. Forward-looking statements are also based on a number of assumptions, which may prove to be incorrect, including, but not limited to, assumptions about the following: global economic environment and higher consumer spending; improved customer demand for the Company’s products; continued historical growth trends, market growth in specific sectors and entering into new sectors; the Company’s ability to provide a wide range of products to multinational customers on a global basis; the benefits of the Company’s focused strategies and operational approach; the achievement of the Company’s plans for improved efficiency and lower costs, including stable aluminum costs; the availability of cash and credit; fluctuations of currency exchange rates; fluctuations in resin prices; the Company’s continued relations with its customers; the Company’s estimated annual cost reductions; and economic conditions. Should one or more risks materialize or should any assumptions prove incorrect, then actual results could vary materially from those expressed or implied in the forward-looking statements. Further details on key risks can be found in the Management’s Discussion and Analysis section of CCL’s 2019 Annual Report, particularly under Section 4: “Risks and Uncertainties” and CCL’s Interim quarterly report for the period ended March 31, 2020. CCL’s annual and quarterly reports can be found online at www.sedar.com or are available upon request.