Supremex Inc. has concluded the acquisition of Groupe Deux Printing Inc. (“G2” or “G2 Printing”) and its related company Pharmaflex Labels Inc. of Laval, Quebec, a leading manufacturer of premium quality folding carton packaging and labels primarily for the pharmaceutical industry. The transaction was concluded for total cash consideration of $11.25 million on a cash-free and debt-free basis subject to customary adjustments for working capital and other items.
“With packaging representing close to 30% of our revenues on a pro-forma basis, we are now one step closer to reach our 50/50 diversification objectives, which is critical to our long-term success as the secular decline in the Canadian envelope market continues,” said Stewart Emerson, President & CEO of Supremex.
“The acquisition of G2 and Pharmaflex perfectly complements our previous packaging acquisitions and growing labels business. We can now provide a complete range of packaging solutions to the pharmaceutical industry including related inserts, leaflets and labels, essentially becoming a one-stop-shop for our growing multinational customer base in the pharmaceutical, cosmetics and food industries,” added Mr. Emerson.
G2 is a family-owned fully integrated manufacturer of superior quality folding cartons with annual revenues of approximately $12 million on a last-twelve-month basis, including its related labels business, Pharmaflex.
