“This acquisition reflects a continuation of our strategy to invest, both organically and through M&A, to shift our portfolio towards faster growing, higher value categories,” says Mitch Butier, Avery Dennison chairman, president and CEO. “Smartrac’s Transponder Division represents an excellent strategic fit for us, accelerating our strategy to expand our Intelligent Labels platform across a variety of end markets and customers within the industrial and retail segments, and extending our reach to new channels."
The combination creates a platform with over $450 million in revenue offering long-term growth and profitability above the company average, with strong research and development capabilities, expanded product lines, and added manufacturing capacity.
“We believe in a future where every physical item will have a unique digital identity and digital life, which will transform the visibility of products throughout the supply chain, all the way to the consumer, helping to improve efficiencies, increase sustainability, and enhance consumer experience,” adds Francisco Melo, vp/gm-intelligent labels for Avery Dennison. “The capabilities of Smartrac will enable us to continue delivering on this vision across multiple verticals.”
Smartrac is headquartered in Amsterdam, the Netherlands. The company has manufacturing facilities in Germany, Malaysia, China, and the United States.