AstroNova’s wholly owned Danish subsidiary ANI has signed an agreement to acquire European digital printing manufacturer Trojanlabel.
Denmark-based Trojanlabel is engaged in manufacturing products including digital color label presses and specialty printing systems for a broad range of end markets.
AstroNova said that the purchase price of the acquisition is approximately $9m, with an additional earn-out potential of approximately $5m to $7m.
The firm expects the acquisition to complement its product identification technologies and opens new geographic markets while strengthening its position in the digital color label printer market.
AstroNova president and CEO Gregory Woods said: “The acquisition of Trojanlabel dovetails with our strategy of identifying strong, profitable and growing businesses that directly complement one of our core lines of business.
“Trojanlabel has grown rapidly to become one of the leading manufacturers in the digital color label printer market. Their products are well known for their innovative design and superior performance.”
The deal is also expected to add high-performance color label presses to AstroNova’s tabletop printer products, thus creating significant cross-selling opportunities, it said.
Scheduled to be completed at the beginning of February 2017, the acquisition is subject to customary closing conditions.
Woods added: “This acquisition also substantially expands our European manufacturing base and broadens the geographic footprint of our Product Identification business, complementing our strong North American direct sales force with Trojanlabel’s formidable dealer network in Africa, Asia, Europe and the Middle East.”
Upon completion of the deal, Trojanlabel will operate as AstroNova’s indirect wholly owned subsidiary.