CCL Industries acquires McGavigan Holdings for CCL Design

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TORONTO, ON / ACCESSWIRE / January 7, 2022 / CCL Industries Inc., a global leader in specialized labeling, security and packaging solutions for global businesses, government institutions, small businesses and consumers, today announced the acquisition of the company McGavigan Holdings Ltd. (“McGavigan”), a leading supplier of ‘in molded components for automotive interiors.

McGavigan supports its global automotive customer base from a long-established UK manufacturing facility and a recently completed new wholly-owned factory in China, where a large majority of its operations are based. Capabilities include state-of-the-art cleanrooms with screen printing, high precision forming, injection molding and automation technologies.

For calendar year 2021, consolidated sales and Adjusted EBITDA are estimated at $ 55.7 million and $ 14.6 million, respectively. The purchase price consideration, net of cash acquired and debt assumed, is approximately $ 105.5 million.

Geoffrey T. Martin, President and CEO of CCL Industries Inc., commented: “We have known McGavigan and his key people for many years, and we are very pleased to welcome the team to CCL where they will continue to serve. focus on innovative specialties. product designs for automotive interiors. This acquisition significantly expands our presence in the automotive sector in China and brings important new product and technology platforms to our global CCL Design network, led by Derek Cumming, Group Vice President.

Forward-looking statements

This press release contains forward-looking information and forward-looking statements (hereinafter collectively referred to as “forward-looking statements”), as defined by applicable securities laws, which 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 generally identified by the words “believe”, “expect”, “anticipate”, “estimate”, “intend”, “plan” or similar expressions. Statements regarding the operations, business, financial condition, priorities, continuing objectives, strategies and prospects of the Company, other than statements of historical fact, are forward-looking statements. Specifically, this press release contains forward-looking statements regarding estimated sales and Adjusted EBITDA for the year ended December 31, 2021.

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 impact of competition; consumer confidence and spending preferences; general economic and geopolitical conditions; exchange rate; interest rates and credit availability; technological change; changes in government regulations; risks associated with operational and product hazards; and the Company’s ability to attract and retain qualified employees. Do not place undue reliance on forward-looking statements, as the actual results of the Company could differ materially from those anticipated in such 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: the global economic environment and rising consumer spending ; improving customer demand for the Company’s products; continuing historical growth trends, market growth in specific sectors and entry into new sectors; the Company’s ability to supply a broad range of products to multinational customers globally; the benefits of the Company’s targeted strategies and operational approach; carrying out the Company’s plans for improved efficiency and lower costs, including stable aluminum costs; the availability of cash and credit; fluctuations in exchange rates; fluctuations in resin prices; the continuation of the Company’s relations with its clients; the Company’s estimated annual cost reductions; and economic conditions. If one or more risks materialize or if assumptions turn out to be inaccurate, then actual results could differ materially from those expressed or implied in the forward-looking statements. Further details on the main risks are available in the 2020 annual report, management report, in particular in section 4: “Risks and uncertainties”. CCL Industries Inc.’s annual and quarterly reports can be viewed online at www.cclind.com and www.sedar.com or are available upon request.

Unless otherwise indicated, forward-looking statements do not take into account the effect that transactions or non-recurring items or other special items announced or occurring after the statements are made may have on the business of the Company. These statements do not reflect, unless otherwise indicated by the Company, the impact of any divestments, asset sales, monetizations, mergers, acquisitions, other business combinations or transactions, asset write-downs or other charges announced or occurring after the fact. The financial impact of these transactions and of non-recurring and other special items can be complex and depends on the particular facts of each of them and therefore cannot be meaningfully described until specific facts are known. Forward-looking statements are provided as of the date of this press release and the Company assumes no obligation to update or revise forward-looking statements to reflect new events or circumstances, except as required by law. The financial information presented herein has been prepared on the basis of IFRS for the financial statements and is expressed in Canadian dollars, unless otherwise indicated.

For more information on McGavigan, visit – www.mcgavigan.com

For more information about CCL, visit – www.cclind.com or contact:

Sean Washchuk
Senior Vice President and Chief Financial Officer
416-756-8526

CCL Industries Inc. employs approximately 23,500 people and operates 199 production facilities in 43 countries with offices in Toronto, Canada, and Framingham, Massachusetts. CCL is the world’s largest converter of pressure sensitive and specialty extruded films for a wide range of decorative, educational, functional and security applications for government institutions and large global customers in the consumer packaging markets. , health and chemicals, consumer electronics and automobiles. Extruded and laminated plastic tubes, aluminum aerosols and specialty bottles, folded instruction brochures, precisely decorated and cut components, electronic displays, polymer banknote substrate and other products and complementary services are sold alongside specific end-use markets. Avery is the world’s largest provider of labels, specialty converted media and software solutions for short-term digital printing applications for businesses and consumers, available alongside complementary products sold through distributors. , mass stores and online retailers. Checkpoint is a leading developer of RF and RFID-based technology systems for loss prevention and inventory management applications, including tagging and labeling solutions, for the retail and clothing all over the world. Innovia is one of the world’s leading producers of specialty, high performance, multilayer and surface films for labeling, packaging and security applications. The Company is partially integrated upstream in materials science with capabilities in polymer extrusion, adhesive development, coating and laminating, surface engineering and metallurgy; deployed as needed in the four business lines.

THE SOURCE: CCL Industries, Inc.

See the source version on accesswire.com:
https://www.accesswire.com/681264/CCL-Industries-Acquires-McGavigan-Holdings-for-CCL-Design

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