Australian packaging giant Orora will acquire US outfit The Register Print Group in a $59m deal, the transaction set to bolster Orora’s footprint in both America and the point-of-purchase (POP) sector.
The deal comes soon after the Melbourne-headquartered business flagged its intention to expand its geographic presence in North America. Orora says the acquisition is also part of the group’s strategic foray into the POP market.
Orora managing director and CEO Nigel Garrard says, “This acquisition represents a positive step in executing Orora’s stated growth strategy in the North American POP segment. It expands Orora’s footprint into the North East, strengthening our ability to service national corporate customers across multiple locations.”
[Related: Read about more acquisitions here]
Garrard says encouraging numbers from Orora’s global sales and Register Print Group’s revenue pushed the packaging giant to lock down the printer.
“With sales that have grown in excess of five per cent per annum over recent years, Register is a high quality addition to Orora’s existing Dalla-based IntegraColor POP business. Furthermore, synergies in excess of $2m are expected to be realised in the first two or three years through improved purchasing and integration of back office services,” he adds.
“Register’s creative, design-led approach complements Orora’s total packaging solutions capability, and I look forward to welcoming Register’s team to the business.”
The New Jersey-based printer has been in operation for some 40 years, and is family-owned. It employs 100 staff – who are set to stay on board under Orora’s leadership – and operates two leased facilities.
According to Register, 90 per cent of its sales are generated through point-of-purchase display printing, and 10 per cent from packaging.
The acquisition is expected to be effective by January next year.
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