Avery Acquires Packaging Firm
Tags and labels supplier Avery Dennison Corp. has signed a definitive agreement to acquire RVL Packaging Inc., a global provider of brand identification products to apparel manufacturers and retailers for their private-label programs.
The privately held RVL, which counts 700 employees, is among the apparel industry’s leaders in the design, marketing, manufacturing and distribution of woven and printed labels, graphic tags and specialty packaging products and has operations in Westlake Village, Calif., and Statesville, N.C.
The agreement also calls for Avery Dennison to acquire RVL’s printing partner, the privately held L&E Packaging, which supplies offset, screen and flexographic printing products tailored to the specific needs of the apparel and retail industries. The company employs about 560 workers and produces its products in Greensboro, N.C., and has operations in Hong Kong and Mexico.
Consolidated revenues for RVL and L&E on an annualized basis are expected to be approximately $200 million, following completion of the transactions.
The operations of the two companies to be acquired will become part of Avery Dennison’s Retail Information Services business. The expansion is expected to generate annual sales of more than $500 million. The agreements are subject to regulatory clearance and other customary closing conditions. Avery Dennison expects to close the transactions early in the fourth quarter.
Avery Dennison said layoffs were not expected for either RVL or L&E. —Robert McAllister and Claudia Figueroa
