MATTHEWS INTERNATIONAL ANNOUNCES PARTIAL REDEMPTION OF PREFERRED EQUITY INTEREST IN PROPELIS

Matthews International Corporation (NASDAQ GSM: MATW) has announced the receipt of $28 million from the partial redemption of its preferred equity interest in Propelis, a brand solutions joint venture. This transaction, disclosed on May 19, 2026, underscores the financial performance of Propelis since its formation through the merger of Matthews' SGK Brand Solutions business and SGS & Co. just one year ago.

The partial redemption reflects the positive trajectory of the Propelis joint venture, which has been performing in line with Matthews International's expectations. Joseph C. Bartolacci, President and CEO of Matthews International, highlighted the joint venture's ability to grow adjusted EBITDA and capture synergies, indicating a robust operational framework that is generating value for shareholders. This development is significant as it demonstrates the effectiveness of the merger strategy employed by Matthews International to enhance its service offerings in the brand solutions sector.

Propelis operates within a competitive landscape, providing integrated solutions that encompass brand creative, packaging, print solutions, branded environments, and content production. The joint venture has positioned itself to meet the evolving demands of clients seeking comprehensive branding solutions. The merger that created Propelis was aimed at leveraging the strengths of both SGK and SGS & Co., allowing for a more diversified portfolio and enhanced market reach.

Matthews International Corporation, with its two primary business segments—Industrial Technologies and Memorialization—continues to focus on operational efficiency and long-term growth. The Industrial Technologies segment, in particular, has evolved into a leading innovator in precision technologies, while the Memorialization segment serves a critical role in providing memorial products to families and communities. The strategic alignment of these segments with Propelis enhances Matthews' overall market position.

The $28 million redemption is not only a testament to the successful integration of Propelis but also reflects broader trends within the general sector. As companies increasingly seek to optimize their operations and deliver value to shareholders, strategic partnerships and joint ventures are likely to become more prevalent. The positive performance of Propelis could serve as a benchmark for similar ventures, indicating a favorable outlook for companies that prioritize innovation and collaboration in their growth strategies.