FTC Clears Avery, Paxar Merger
The Federal Trade Commission and U.S. Department of Justice have cleared the path for Pasadena, Calif.–based tags and labels suppliers Avery Dennison Corp. and White Plains, N.Y.–based Paxar Corp. to merge.
The companies announced on March 22 that their respective boards of directors had unanimously approved an agreement for Avery to acquire all outstanding shares of Paxar for $30.50 per share in a cash transaction valued at approximately $1.34 billion.
The federal government concluded its antitrust review of the transaction earlier than expected. The transaction remains subject to Paxar shareholder approval, as well as regulatory approvals in several other countries. The companies said that they should receive clearances from those entities during the second quarter.
Avery Dennison markets retail tag, ticketing and branding systems. Paxar produces identification solutions to the retail and apparel industry in the form of tags and labels as well as RFID (radio frequency identification) solutions.—Robert McAllister
