The US$10.15 per share in cash represents a premium of approximately 29% to the closing price on March 1, 2016, the last trading day prior to the signing of the definitive merger agreement.

Geoffrey T. Martin, President and Chief Executive Officer of CCL, said, “We have admired Checkpoint for many years as they built a unique, leading global position providing technology-driven label solutions to the retail & apparel industry. We are very pleased to welcome their deeply experienced people to CCL where they will continue to focus on this important industry for emerging ‘smart label’ technologies.”

Checkpoint is a leading manufacturer of technology-driven, loss prevention, inventory management and labeling solutions, including RF and RFID-based, to the retail & apparel industry. The business has operations in 29 countries including 46 go-to-market units and 21 manufacturing facilities. For the last twelve months ended September 27, 2015, Checkpoint generated net revenue of approximately C$820 million and adjusted EBITDA (before synergies) of C$83 million, resulting in an adjusted EBITDA margin of 10.2%.

The transaction has been described as a compelling and unique opportunity for CCL to enhance breadth and scale, while creating an opportunity to realise meaningful synergies, and earnings accretion, including expanding CCL’s international operating platform, especially in Asia and creating identified annual synergies of up to $40 million plus meaningful and immediate earnings accretion.

CCL intends to finance the transaction entirely with its existing US$1.2 billion revolving syndicated credit facility.

Upon the closing of the transaction, Checkpoint will be reported as a new operating segment of CCL. The transaction has been unanimously approved by the boards of directors of both companies and is expected to close in mid-2016.