Avery Dennison Corporation has announced its acquisition of Meridian Adhesives Group's flooring adhesives business for $390 million, aiming to enhance its specialty adhesives portfolio in the growing U.S. market.

Target Information

Avery Dennison Corporation (NYSE: AVY), a prominent global materials science and digital identification solutions company, has entered into a definitive agreement to acquire the flooring adhesives business of Meridian Adhesives Group for $390 million. Meridian’s flooring adhesives division is recognized as a leader in the development, manufacturing, and commercialization of specialized adhesives and coatings specifically designed for the U.S. flooring industry. This business segment is projected to generate approximately $110 million in revenue for 2025 and boasts attractive operating margins. Meridian’s flooring adhesives operations are headquartered in Dalton, Georgia, featuring four manufacturing facilities across the United States and employing around 110 individuals.

Industry Overview

The flooring adhesives industry in the United States is experiencing steady growth, fueled by an increase in construction activities and advances in adhesive technology. As the demand for durable and sustainable flooring solutions rises, manufacturers are focusing on developing adhesives that enhance the performance and longevity of flooring materials. The U.S. market is characterized by a diverse range of application areas, including residential, commercial, and industrial sectors, which adds to the industry's complexity and growth potential.

Market trends indicate a growing preference for eco-friendly and low-VOC (volatile organic compounds) adhesives, reflecting broader societal pushes toward sustainability and environmental responsibility. Companies that can innovate i