Label Printer May Profit From Beer Merger

-- Graphic Arts Online, 11/15/2007

Label printer Multi-Color Corp, Sharonville, OH, may have something to toast when the pending merger between Miller Brewing Co. and Molson Coors is finalized. Miller is the company’s second-largest client, generating 17%, or about $38 million, of its fiscal 2007 sales of $222 million (ranked #30 on the GAM/GABB 101), reports the Business Courier of Cincinnati. 

The brewery deal would create a company capable of producing 23 billion bottles of beer annually, presenting Multi-Color with huge growth potential. The printer announced plans last month to expand its manufacturing operations with the purchase of a 247,000-sq.ft. building in Batavia, OH. The printer plans to consolidate its current Batavia and Troy, OH operations into the new facility over the next several months, and acquired three new flexo presses in the last four months. (e-GAM 10/5/07) 

Multi-Color has also announced it agreed to acquire International Holdings Pty. Ltd of Australia, a maker of pressure sensitive wine and spirits labels that counts the U.S. as one of its markets, for an undisclosed sum.

The company reported Q2 net income from continuing operations increased 9% to $3 million primarily due to decreased interest expense and increased investment income, on a sales jump of 6% to $52.1 million.