Essel Propack, a global leader in laminated plastic tubes catering to the FMCG & Pharma space, has announced a complete buyout of Essel Deutschland Germany (EDG). Following this transaction, EDG will be a 100% subsidiary of Essel Propack. Until now, Essel has been a JV partner with 24.9% share in EDG. The enterprise value of EDG stands at $32 million.
The acquisition will help Essel unlock synergies such as enhanced cross selling opportunity in the German markets, sourcing flexibility and better capacity utilization at all of its Europe plants. The EDG revenue of approximately $40 million will now be consolidated in Essel’s global revenue and will boost consolidated revenue by 11%. In FY16, Essel Propack’s consolidated revenue stood at Rs 2,184 crore.
Essel Propack, part of the $2.4 billion Essel Group, is the largest specialty packaging global company, manufacturing laminated plastic tubes catering to the FMCG and Pharma space.
