Avery Dennison, a leader in materials science and digital identification solutions, has announced it has entered into a definitive agreement to acquire the U.S.-based flooring adhesives division of Meridian Adhesives Group for $390 million, subject to customary closing and post-closing adjustments. The acquisition is expected to close in the fourth quarter of 2025.
Meridian’s flooring adhesives business is a recognized leader in the development, manufacturing, and commercialization of specialty adhesives and coatings tailored for the U.S. flooring industry. Headquartered in Dalton, Georgia, the business operates four manufacturing facilities and employs approximately 110 people. It is projected to generate $110 million in revenue in 2025, with attractive operating margins that complement Avery Dennison’s existing portfolio.
Upon completion, the acquired business will be integrated into the Avery Dennison Materials Group, further strengthening its position in high-performance adhesives and expanding its reach into the building and construction sector. The acquisition includes well-established brands such as Taylor Adhesives, Polycom, and Frontier Products.
Avery Dennison noted that the transaction is not expected to have a material impact on its adjusted earnings per share for 2025, signaling a strategic long-term investment rather than a short-term earnings driver. The deal aligns with the company’s broader strategy to diversify its product offerings, enhance manufacturing capabilities, and capture growth opportunities in adjacent markets.
Advisors/counsel: Chemlink Partners and Goodwin Procter advised Avery Dennison on the transaction. Piper Sandler, Moelis & Company, and Weil, Gotshal & Manges advised Meridian on the transaction.
KEY QUOTES:
“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.”
Deon Stander, Avery Dennison president and CEO
“This acquisition is an excellent fit with 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, acrylic adhesive expertise and open new application opportunities for us in the flooring industry.”
Ryan Yost, president, Avery Dennison Materials Group
“I am incredibly proud of what our teams at Taylor Adhesives, Polycom and Frontier Products have built. With Avery Dennison’s backing and reach, these brands are well-positioned to continue growing and delivering even greater value to our customers.”
Ralph Grogan, commercial president of flooring, Meridian
