Multi-Color Corporation Receives Court Approval of First Day Motions

(BUSINESS WIRE) -- Multi-Color Corporation (“MCC” or the “Company”), a global leader in prime label solutions, today announced that it has received approval from the U.S. Bankruptcy Court for the District of New Jersey (the “Court”) for first day relief related to its prepackaged Chapter 11 filed on January 29, 2026. The approved relief affirms that the Company will operate in the normal course, pay all trade vendors and suppliers in full, and maintain a strong liquidity position during the restructuring.

As part of this relief, the Court granted MCC immediate access to $125 million of $250 million in debtor-in-possession (“DIP”) new money financing, provided by certain holders of MCC’s secured first lien debt and its equity sponsor, CD&R. This funding will capitalize the business through the initial stages of the prepackaged Chapter 11 process. The Court also granted MCC authority to pay trade vendors and suppliers in full in the ordinary course, maintain wages and benefits without interruption, satisfy employee-related claims, and perform other critical functions and processes necessary for MCC to continue uninterrupted operations.

“The approval of our first day motions marks an important milestone in our financial restructuring, which will allow us to operate in the normal course as we deleverage our balance sheet and strengthen our capital structure,” said Hassan Rmaile, President & Chief Executive Officer of MCC. “As we look ahead, we remain focused on providing best-in-class solutions for our customers and executing on our strategic priorities. We look forward to advancing through this process to further position MCC for long-term growth and investment to best serve our customers.”

As previously announced, MCC entered into the restructuring support agreement (“RSA”) that is supported by holders of approximately 72% in amount of MCC's secured first lien debt and CD&R. This transaction will significantly deleverage MCC's balance sheet, reducing its net debt load from approximately $5.9 billion to approximately $2.0 billion. The RSA also contemplates that CD&R and a group of MCC's existing secured lenders will provide an $889 million new common and preferred equity investment that will support long-term growth and investment. Upon emergence, MCC will have more than $550 million of liquidity.

For more information on MCC’s restructuring, including access to Court documents, please visit www.veritaglobal.net/MCC. Stakeholders with questions can contact Verita, the Company’s claims and noticing agent, at (866) 967-1788 (U.S./Canada toll free) or +1 (310) 751-2688 (International) or submit an inquiry to www.veritaglobal.net/MCC/inquiry. Additional information is also available at MCCForward.com.

ADVISORS

Kirkland & Ellis LLP and Cole Schotz P.C. are serving as legal counsel, Evercore is serving as investment banker, AlixPartners is serving as financial advisor, Quinn Emanuel Urquhart & Sullivan, LLP is serving as special counsel to the Special Committee of LABL, Inc.’s Board of Directors, and FGS Global is serving as strategic communications advisor to the Company. Debevoise & Plimpton LLP and Latham & Watkins LLP are serving as legal counsel to CD&R and Moelis & Company LLC is serving as financial advisor. Milbank LLP and PJT Partners serve as legal counsel and financial advisor, respectively, to the ad hoc group of secured creditors.

ABOUT MCC

Multi-Color Corporation (MCC) is a global leader in prime label solutions, providing innovative and sustainable solutions to some of the world’s most recognizable brands across a broad range of consumer-oriented end categories. MCC is committed to delivering the world’s best label solutions for their customers to build their brands and add value to the communities in which they operate.

Forward Looking Statements

This press release contains certain forward-looking statements with respect to the financial condition, results of operations and business of MCC and its subsidiaries and certain plans and objectives with respect thereto. These forward-looking statements can be identified by the fact that they do not relate only to historical or current facts. Forward-looking statements often use words such as "anticipate", "target", "expect", “enable”, "estimate", "intend", "plan", "goal", "believe", "hope", "aims", "continue", "will", "may", "should", "would", "could", or other words of similar meaning. These statements are based on assumptions and assessments made by the Company and its perception of historical trends, current conditions, future developments and other factors. By their nature, forward-looking statements involve risk and uncertainty, because they relate to events and depend on circumstances that will occur in the future and the factors described in the context of such forward-looking statements in this document could cause actual results and developments to differ materially from those expressed in or implied by such forward looking statements. Although it is believed that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct, and you are therefore cautioned not to place undue reliance on these forward-looking statements which speak only as at the date of this document. The Company does not assume any obligation to update or correct the information contained in this document (whether as a result of new information, future events or otherwise), except as may be required by applicable law. There are several factors which could cause actual results to differ materially from those expressed or implied in forward-looking statements.

Among the factors that could cause actual results to differ materially from those described in the forward-looking statements are changes in the global, political, economic, business, competitive, market, supply chain, and regulatory forces, future exchange and interest rates, changes in tax rates and any future business combinations or dispositions, uncertainties and costs related to the RSA and the chapter 11 process, including, among others, potential adverse effects of the chapter 11 process on the Company’s liquidity and results of operations, including with respect to its relationships with its customers, distribution partners, suppliers, and other third parties; employee attrition and the Company’s ability to retain senior management and other key personnel due to the distractions and uncertainties inherent in the Chapter 11 process; the impact of any cost reduction initiatives; any other legal or regulatory proceedings; the Company’s ability to obtain operating capital, including complying with the restrictions imposed by the terms and conditions of any debtor-in-possession financing, such as the financing mentioned herein; the length of time that the Company will operate under Chapter 11 protection; the timing of any emergence from the Chapter 11 process; and the risk that any plan of reorganization resulting therefrom may not be confirmed or implemented at all. Please see the Joint Prepackaged Plan of Reorganization of MultiColor Corporation and its Debtor Affiliates Pursuant to Chapter 11 of the Bankruptcy Code [Docket No. 17] and the Disclosure Statement Relating to the Joint Prepackaged Plan of Reorganization of MultiColor Corporation and its Debtor Affiliates Pursuant to Chapter 11 of the Bankruptcy Code [Docket No. 18], (each as may be amended, modified or supplemented) for additional considerations and risk factors associated with the company’s Chapter 11 process. Nothing in this press release is intended as a profit forecast or estimate for any period and no statement in this press release should be interpreted to mean that the financial performance for the Company for the current or future financial years would necessarily match or exceed its historical results. Further, this press release is not intended to and does not constitute and should not be construed as, considered a part of, or relied on in connection with any information or offering memorandum, security purchase agreement, or offer, invitation or recommendation to underwrite, buy, subscribe for, otherwise acquire, or sell any securities or other financial instruments or interests or any other transaction.

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