Avery Dennison Corporation is based in Brea, a community in the Los Angeles metro area, but recent news related to the company is still relevant to Sacramento readers. That is because 3M, the Minnesota-based maker of innumerable office supplies (among many other products) recently announced it plans to acquire Avery Dennison's office-supplies and consumer goods unit for $550 million in cash.

That means a great many office supplies that Sacramento residents use every day, from Post-It Notes to certain brands of highlighters to Scotch Tape to file folders, may soon be made by 3M rather than the California-based Avery Dennison.

News of the acquisition sent the stocks of both companies upwards the morning after it was announced. The acquisition is expected to close in the later part of this year. Avery Dennison released a statement saying it will use the proceeds of the sale to buy back shares and to reduce debt.

3M has been on a tear lately in terms of acquiring new companies. The list of companies it recently purchased includes lead-detector Hybrivet Systems and Advanced Chemistry and Technology, which makes aerospace sealants.

Even though it seems to be moving with alacrity, 3M's lawyers are likely working overtime to make sure all the T's are crossed and the I's are dotted on these deals. Mergers and acquisitions can be delicate affairs that require skill and precise attention to detail to pull off. Think about that next time you scribble a message to a coworker on a Post-It or file something in a hanging folder.

Source: The New York Times Dealbook, "3M to Acquire a Unit of Avery Dennison," Evelyn M. Rusli, Jan. 3, 2012