In the interim period, the two companies will cooperate to serve common customers and leverage combined supplier relationships. This coordination will be led by Guenther Birkner, president, Food & Beverage Worldwide, together with the management teams of John Watson & Co. and CCL Label Wine & Spirits business units.
John Watson, whose family has owned the shares of the company since inception, will remain associated with the business in an advisory capacity. Robert McLachlan and Allan McDonnell will enter into continuing employment agreements as joint Managing Directors. The acquired company will, on completion of the transaction, change its trading name to CCL Label and become a part of the global Wine & Spirits network.
Geoffrey Martin, president and CEO of CCL Industries, says, "The Wine & Spirits sector continues to be attractive for us as we have built our business by a series of acquisitions, joint ventures and greenfield investments around the world. Guenther and his key people have held John Watson & Co. in high regard for a long time and believe the great team that John assembled will allow us to get closer to important global customers located in Scotland. We also plan to support the planned acquisition with further investment in the operation in Glasgow."
John Watson, chairman of John Watson & Co., adds, "We are delighted to have concluded heads of agreement with CCL and look forward to the future with confidence and enthusiasm. We believe CCL will be a very good home for John Watson & Co. and that it will take the business to the next level. This has been a personal crusade in developing Watson´s over 46 years and I would like to thank all my dedicated Directors, staff and others associated with this business for their unswerving loyalty and support."