Paxar Eyes Growth With Alkahn Acquisition
White Plains, N.Y.–based label supplier Paxar Corp. recently finalized the acquisition of Hong Kong–based Alkahn Labels Inc., a maker of woven labels, for $25 million.
Paxar will assume Alkahn’s properties in West Virginia, South Carolina and Hong Kong and an account base that represented $45 million in sales in 2002.
The deal is expected to help Paxar with its branded-apparel business. Woven labels— which make up about 20 percent of the company’s label business—are a critical part of brand identity, said Paxar Chief Executive Officer Arthur Hershaft.
“This acquisition, which will afford many synergies and cost-reduction opportunities, is strategically significant in that it will provide us with an exceptionally strong platform to grow our woven-label business,” Hershaft said.
Paxar will keep on Alkahn President Philip Kahn but will not retain Chief Executive Officer Max Kahn. Alkahn’s name has been changed to Paxar, and its West Coast offices have been moved from Los Angeles to Huntington Beach, Calif. Don Larsen, vice president of sales, is handling Paxar’s West Coast business.
In addition to printed, woven and heattransfer labels, Paxar produces a range of apparel identification and tracking products.
—Robert McAllister
