TEL AVIV (Reuters) - California-based Avery Dennison (AVY.N) has agreed to buy Hanita Coatings from the Hanita kibbutz and the Tene investment fund for $75 million, the Calcalist financial news website said on Sunday.
The company has signed a memorandum of understanding and is concluding its due diligence, after which it will pay $66 million. The remaining $9 million will be paid upon reaching certain milestones, Calcalist said.
Officials at Hanita Coatings, which produces polyester films and laminates for industrial and commercial applications, could not be reached for comment.
Avery Dennison manufactures pressure-sensitive adhesive materials, apparel branding labels and specialty medical products. It had sales of $6 billion in 2015.
Reporting by Tova Cohen