Custom labels and packaging company, Labelmakers, has inked an agreement to acquire linerless labelling company, Le Mac Australia, for an undisclosed sum.
The transaction is expected to be complete in September.
According to Labelmakers, the synergies created through this transaction will generate “enormous value” for the combined entity’s customer base, bringing together Labelmakers’ range of printed label and packaging solutions with Le Mac’s capabilities across linerless labels, shrink sleeves and tamper evident labels and packaging.
Le Mac is known to be a pioneer in Australia in introducing the complete Linerless Labelling System, which eliminates the requirement for a release liner and associated waste and was one of the reasons for the acquisition.
Labelmakers CEO Paul O’Sullivan said the acquisition will cement the company as Australasia’s pre-eminent partner for printing and packaging solutions.
“Le Mac is undeniably the market leader for linerless labels in Australia, which is generating significant interest from customers across the labelling arena,” he said.
“Furthermore, its shrink sleeve capability further complements our own leadership position in shrink sleeve labelling. The bringing together of the two businesses makes complete sense in terms of Labelmakers supporting customers in these two growth areas.”
As Labelmakers is committed to improving environmental outcomes within the sector, its team is working on a number of initiatives including waste minimisation and closed-loop recycling, to deliver on these commitments.
Extending its offering to include linerless label technology is part of this strategy.
O’Sullivan said Le Mac Australia’s label application system also delivers greater line efficiencies to sectors where faster labelling speeds are required, such as the pre-packaged meat sector.
“With environmental packaging and operational efficiencies a key focus for brand owners and companies across the value-chain, we see significant growth potential for this innovative labelling solution, and we are excited to welcome these capabilities into the Labelmakers’ offering.”
Le Mac Australia CEO Mike Cowan said the acquisition combines both business’ innovations, bringing to market a more wholesome offering.
“Le Mac has built its reputation as a market pioneer introducing the first shrink sleeves into Australia and New Zealand in 1983 and linerless self-adhesive labels in 2005,” Cowan said.
“The merger will combine this innovative culture with Labelmakers’ strength in manufacturing, creating a Group with considerable depth with a wide range of packaging solutions.”