Brook & Whittle has entered into a definitive agreement to acquire Innovative Labeling Solutions (ILS) and Wizard Labels.
Brook & Whittle is a manufacturer of premium prime label products, including pressure-sensitive labels and shrink sleeves, as well as medical packaging. It places a focus on sustainable packaging options and decorative effects. Brook & Whittle operates eight production facilities in the US.
ILS is a full-service prime packaging provider focused on high-quality digitally printed labels for the household, personal care, beverage, nutraceutical, food and industrial end markets, amongst others. Wizard Labels is an online custom product label company focused on the business-to-business label market. Wizard Labels serves a variety of end markets including beauty, household personal care, nutraceutical, CBD/cannabis, food and beverage, amongst others.
Jay Dollries founded ILS with Steve Wolf in 1996 and went on to start Wizard Labels with Steve Smith in 2013. All three have been involved with the companies’ acquisitions by Brook & Whittle, which is majority owned by private equity firm Snow Phipps. Mr Dollries and Mr Smith will become part owners in Brook & Whittle post-closing. The ILS and Wizard Labels leadership teams will continue to focus on running their respective businesses as part of Brook & Whittle.
Brook & Whittle CEO Mark Pollard said, ‘We are thrilled to acquire leading providers of digital and custom online prime label solutions in North America. The founders of ILS and Wizard Labels have built remarkable companies that are exceptionally well-positioned for growth and we are incredibly excited for them to join Brook & Whittle as significant shareholders.’
Don Sturdivant, chairman of Brook & Whittle and operating partner at Snow Phipps, added, ‘There is significant benefit in the application of the ILS and Wizard Labels business model across Brook & Whittle. [All three] focus on similar growth-oriented end markets and product categories, namely pressure-sensitive and shrink sleeve. We are eager to combine our efforts to collectively better serve our growing customer base.’
Since the purchase of its first digital press in 2005, ILS has focused its business model around digital production capable of delivering fast lead times on short run production for its customers. ILS has longstanding partnerships with several of the world’s leading global digital print and converting equipment manufacturers and frequently serves as a beta testing site for new equipment introductions, particularly those by HP Indigo. Mr Dollries, ILS CEO, will help transition the ILS platform to Brook & Whittle and become a strategic advisor and thought partner as a shareholder and board member of Brook & Whittle.
Mr Dollries commented, ‘ILS has proven its ability to maximise the capabilities of digital printing technology in unique ways to provide solutions for our customers. The opportunity to leverage our know-how across the broader Brook & Whittle platform will truly enhance our ability to scale the business model and growth prospects. In addition, ILS and Brook & Whittle share similar cultures and values, so this partnership is truly a great fit.’
Of Wizard Labels, company president Mr Smith said, ‘The Wizard Labels technology platform has demonstrated its unique ability to service customers with unparalleled speed and reliability. We look forward to expanding our product line and growing our customer base with the increased capabilities Brook & Whittle offers.’
Mr Smith will also continue with Brook & Whittle as a strategic advisor and shareholder, helping to continue to scale Wizard Labels’ technology platform.
ILS and Wizard Labels are the fourth and fifth add-on transactions that Brook & Whittle anticipates completing since Snow Phipps’ initial investment in October 2017. Brook & Whittle acquired Prime Package & Label in November 2018, a shrink sleeve facility in Croydon in May 2020 and Label Impressions in June 2020.
‘We are pleased to have the opportunity to partner with ILS and Wizard Labels and are very enthusiastic about our future together,’ said Gerald Sheehan, partner at Snow Phipps. ‘The acquisition will further enhance Brook & Whittle’s position as a leading provider of high-end labels across North America.’
