CCL Industries announced a game-changing acquisition, in a $500 million double header deal acquiring two business units from Avery Dennison, including the well-established Avery brand identity. As reported previously in The Target Report, CCL Industries closed deals in November 2012 and in July 2012. Tightly focused on packaging, and in particular labeling technologies, CCL Industries is expecting to exceed $2 billion in revenues during 2013.
Another powerhouse in the packaging industry, WS Packaging Group, backed by Boston based PE firm J.W. Childs, acquired Label World in Rochester, NY. This marks the company’s third acquisition we have reported in the past six months, including its purchase of another label company in June 2012. This private equity firm clearly likes what it sees as it combs through the packaging industry for attractive candidates.
The Colortree Group, with financial support from Boathouse Capital in Wayne, Pennsylvania, has added Direct Impressions to its previous acquisition of Graphic Innovations, both located in Richmond, Virginia. The company is focusing its efforts on direct mail and related services. In the broader based commercial printing sector, Colorfx continues building a significant regional rollup in Iowa, acquiring Capital City Graphics. With its two other recent acquisitions, the company is reportedly poised to hit $90 million in revenue this coming year.
In the paper products industry, Soundview Paper Company was back in the acquisition mode, acquiring Putney Paper in Putney, Vermont, bolting the northern company onto PE firm Atlas Holdings’ portfolio company, the former Marcal Paper Mills, a recycled paper products mill located in urban northern New Jersey.
The newspaper business continued its steady decline, as the publisher of ten regional titles in Georgia and Alabama, the News Publishing Company, filed for Chapter 11 bankruptcy protection in January. The company announced that it plans to reorganize and emerge from bankruptcy.
Jacob North Printing Company, a commercial and publication printer located in Lincoln, Nebraska, also filed for Chapter 11 bankruptcy, having survived to date for over 120 years, six generations of owners, a stint owned by the local newspaper, as well as complete destruction by fire in 1899. It remains to be seen if this company, with its self-proclaimed “never-say-die-attitude,” can survive the onslaught of digital communication technologies.
We have added a third element to our deal log for non-bankruptcy plant closures. These closures include out-of-court wind-downs and restructurings under state laws, as well as plant shut downs by larger multi-plant firms. In addition to our M&A deal log and record of bankruptcy filings, the listings of these closures are another indication of the ongoing change as the industry right-sizes its production capacity and capabilities to meet the changing demands of the market. Two industry giants, Quad Graphics and RR Donnelley, both announced plant closings in January.
| 2013 January - Mergers and Acquisitions in the Printing, Packaging, Paper & Related Industries | |||||||||||||
Deal Party #1 (Surviving Entity) |
Pre-Deal Revenues ($Mil ) |
Party #1 Address |
Deal Party #2 |
Pre-Deal Revenues ($Mil ) |
Party #2 Address |
Date Deal Public |
Deal Value ($Mil) |
Deal Structure (Intermediary) |
Notes |
Press Releases |
|||
| CCL Industries | $1,268 (CN) | Toronto, ON | Avery Dennison Label | $910 | Pasadena, CA | 1/30/13 | $500.0 | Acquisition | 1)
Office & Consumer Products 2) Designed & Engineered Solutions |
Link | |||
| Royal
Printing (Royal Printing) |
No Data | Quincy, IL | Modern Printing | No Data | Quincy, IL | 1/30/13 | No Data | Merger | Commercial printing | Link | |||
| Colortree Group | No Data | Henrico, VA | Direct Impressions | No Data | Richmond, VA | 1/30/13 | No Data | Acquisition (Dominion Partners) |
Continuous forms, direct mail | Link | |||
| Insty-Prints | No Data | Chippewa Falls, WI | Creative Graphics | No Data | Chippewa Falls, WI | 1/20/13 | No Data | Acquisition | Printing & copying | Link | |||
| Caymus Capital Group | No Data | Los Angeles, CA | Fulfillment Corp of America | No Data | Beaverton, OR | 1/17/13 | No Data | Acquisition | Fulfillment & digital printing | Link | |||
| Nancy Salvini | No Data | Belleville, NJ | Wheal-Grace | No Data | Belleville, NJ | 1/11/13 | No Data | Family Transfer | Commercial printing | Link | |||
| Professional Print & Mail | No Data | Fresno, CA | Premier Color Graphics | No Data | Visalia, CA | 1/10/13 | No Data | Acquisition | Commercial printing | Link | |||
| Menasha Packaging | No Data | Neenah, WI | Rand Diversified | No Data | Edison, NJ | 1/4/13 | No Data | Acquisition | Contract packaging & display | Link | |||
| WS Packaging Group | No Data | Green Bay, WI | Label World | No Data | Rochester, NY | 1/4/13 | No Data | Acquisition | Labels & flexible packaging | Link | |||
| Toof Commercial Printing | No Data | Memphis, TN | American Digital | No Data | Memphis, TN | 1/2/13 | No Data | Acquisition | Commercial printing | Link | |||
| Soundview Paper Company | No Data | Elmwood Park, NJ | Putney Paper | No Data | Putney, VT | 1/2/13 | No Data | Acquisition | Paper products | Link | |||
| Colorfx | No Data | Des Moines, IA | Capital City Graphics | No Data | Des Moines, IA | 1/2/13 | No Data | Acquisition | Commercial
print & services ($90Mil combined revenues) |
Link | |||
| 2013 January - Bankruptcy Filings in the Printing, Packaging, Paper & Related Industries | ||||||||||||
Filing Party |
Date Case Filed |
Pre-Petition Revenues ($Mil ) |
Case # |
Filing Party Address |
Circuit |
Region & City |
Judge |
Attorney for Debtor |
Notes |
|||
| Chapter 11 Filings: | ||||||||||||
| MIR Printing & Graphics | 1/18/13 | No Data | 13-10404 | Canoga Park, CA | 9th | Central
CA Woodland Hills |
Victoria S. Kaufman | Ovsanna Takvoryan | Printing & copying | |||
| Jacob North Printing Co., Inc. | 1/14/13 | No Data | 13-40066 | Lincoln, NE | 8th | Nebraska Lincoln, NE |
Thomas L. Saladino | Trev Peterson | Commercial & publication printing | |||
| News Publishing Company | 1/1/13 | No Data | 13-40002 | Rome, GA | 11th | Northern
GA Atlanta |
Mary Grace Diehl | J. Nevin Smith | Newspaper
Publishing Ten titles in GA and AL |
|||
| Chapter 7 Filings: | ||||||||||||
| Printing & Business Solutions, Inc. | 1/31/13 | No Data | 13-21109 | Milwaukee, WI | 7th | Eastern,
WI Milwaukee |
G. Michael Halfenger | Lester A Ottenheimer | Printing equipment & supplies | |||
| Aull Printing and Copy Plus, Inc. | 1/31/13 | No Data | 13-50113 | Salisbury, NC | 4th | Middle
NC Winston-Salem |
Thomas W. Waldrep Jr. | William V. Bost | Printing & copying | |||
| AMD Printing | 1/24/13 | No Data | 13-02698 | Buffalo Grove, IL | 7th | Northern
IL Chicago |
Timothy A. Barnes | David M Siegel | Printing & copying | |||
| Specialized Printing & Promotions, Inc. | 1/17/13 | No Data | 13-10316 | Fresno, CA | 9th | Eastern,
CA Fresno |
Fredrick E. Clement | Adrian S. Williams | Screen printing | |||
| 2013 January - Non-Bankruptcy Closures in the Printing, Packaging, Paper & Related Industries | |||||||||||
Closed Company / Facility |
Date of Closure |
Pre-Closure Revenues ($Mil ) |
Closing Address |
Related Party | Related Party Address |
Date Closure Public | Notes |
Press Releases |
|||
| Impressions Plus Printing and Copying | 2/20/13 | No Data | Winchester, VA | None | N/A | 1/31/13 | Printing & copying | Link | |||
| RR Donnelley - Printing Facility | Apr-13 | No Data | Greenville, WI | RR Donnelley | Chicago, IL | 1/21/13 | Formerly a Banta Book location | Link | |||
| Quad Graphics - Printing Facility | 3/8/13 | No Data | Dubuque, IA | Quad Graphics, Inc. | Sussex, WI | 1/9/13 | Plant opened 1949, owned by Quad since 2010 | Link | |||
