Avery Dennison has signed an agreement to acquire the U.S.-based flooring adhesives business of Meridian Adhesives Group – which includes Taylor Adhesives, Polycom and Frontier Products brands – at a purchase price of USD$390m. Upon completion of the transaction, the flooring adhesives business will become part of the Avery Dennison Materials Group business.
Avery Dennison has signed an agreement to acquire the U.S.-based flooring adhesives business of Meridian Adhesives Group – which includes Taylor Adhesives, Polycom and Frontier Products brands
Headquartered in Dalton, Georgia, the Meridian Adhesives Group has four manufacturing facilities across the US, and is a recognised leader in the development, manufacture and commercialisation of specialty adhesives and coatings for the U.S. flooring industry, with projected 2025 revenue of approximately USD$110m and attractive operating margins.
Deon Stander, Avery Dennison President and CEO, says: “Avery Dennison remains sharply focused on expanding in high-value categories, both organically and through M&A. This acquisition will leverage our materials science capabilities, while deepening our specialty adhesives solutions, with a business that is highly regarded within the floor covering industry for its product quality, strong customer relationships and continuous innovation.”
Ryan Yost, President, Avery Dennison Materials Group, adds: “This acquisition is an excellent fit with the Materials Group. It adds a valuable set of application-oriented solutions in high-value categories to our adhesives portfolio. We see strong cost and technology synergies that will build on our materials science capabilities and acrylic adhesive expertise, and it will open new application opportunities for us in the flooring industry.”
Avery Dennison expects the transaction to close in the fourth quarter. It is not expected to have a material impact on the company’s adjusted earnings per share in 2025.
