Avery Dennison To Acquire Paxar For $1.3 Billion

Avery Dennison said it will acquire Paxar, a provider of merchandising systems for the retail and apparel industries, for $1.3 billion in a deal that will complement Avery Dennison's existing labeling systems and office supplies business. Paxar's strong presence in Europe will also beef up Avery Dennison's plans to expand its global business.

"This combination will give us the capabilities, products, and geographic reach to pursue new segments of the global retail information and brand identification market," said Dean Scarborough, president and CEO of Avery Dennison, in a statement Thursday. "These segments include retailers and manufacturers serving local customers in India and China."

Paxar's greater presence in Europe will also help Avery Dennison build its business in Latin America and the Middle East.