Cenveo acquires Nashua Corporation

Cenveo has signed an agreement to acquire all of the shares of Nashua Corporation in a stock and cash transaction valued at approximately USD $44 million.

Founded in 1849, Nashua, with annual revenues of USD $265 million in 2008, is a manufacturer and converter of label and specialty paper products with 650 employees and manufacturing facilities in California, Nebraska, New Hampshire and Tennessee. Nashua’s Label Products Division manufactures pressure sensitive labels for supermarket, prescription, distribution and RFID applications. Nashua’s Specialty Paper Products Division is a converter of point-of-sale receipt paper (used in retail, gaming and package identification applications), coated thermal papers (used to manufacturer thermal label products) and printable, wide-format media (including the Dietzgen brand name).

The agreement has been approved by the boards of directors of both companies and is expected to close during the summer.

Robert G. Burton, chairman and CEO of Cenveo, stated: ‘The acquisition of Nashua brings together two of the nation’s most respected printers to strengthen our label platform and expand our product offerings. Nashua’s operations both strategically mirror and complement Cenveo’s product line and will create immediate cross-selling opportunities for both companies’ customers. The acquisition of Nashua, with its storied history and strategic niche product offerings, is an example of how we intend to grow our company by acquiring leaders in high growth sectors of the printing industry. We expect this acquisition to be accretive to earnings.’

Thomas G. Brooker, Nashua’s president and CEO, stated: ‘By becoming a part of the third largest graphic communications company in North America, Nashua is better positioned to reach the next level of performance and market share growth in the attractive niche markets we serve. Nashua will become part of a much larger business, a business better able to meet the growing and full service needs of Nashua’s customers, and use this expanded scale to deliver increased efficiencies and a wider service offering to them.’