Asia-Pacific-focused alternative investment firm PAG will acquire a majority stake in Manjushree Technopack, India’s largest rigid plastic packaging solution company, for Rs. 8,400 crore (approximately US$ 1 billion). The deal to acquire Manjushree Technopack will be PAG’s third billion-dollar deal this year and the largest it has done in India.
The US-based private equity investor, Advent International, will divest its 97% stake in the company to the Hong-Kong-based PAG, according to sources quoted by the Indian financial press. Advent currently holds 97% of the company while 3% is held by other public shareholders. Advent acquired a 40% stake in Manjushree from Kedara Capital at a company valuation of Rs. 2,440 crore. Subsequently, in the same year, it acquired another 57% of the company. The company has made several acquisitions to produce sprayers, pumps, and triggers in the last few years.
PAG considers the Asia Pacific region to be one of the fastest growing regions and by alternative investment, it looks at off-market opportunities. It has US$ 55 billion under management by over 300 global institutional investors. It manages four pan-Asian buyout funds and two growth funds with US$ 19 billion of capital under management and investments of over US$ 3 billion across various business sectors in India since 2009. Since the founding of its office in the country under the leadership of Nikhil Srivastava in 2019, it has so far invested US$ 1.7 billion.
Manjushree Technopack was established in 1979 and started its plastic container manufacturing operations in Bangalore in 1987. It has 20 plants across India for manufacturing plastic bottles and jars and PET hot-fillable bottles and pre-forms used by the food, beverages, pharmaceutical, cosmetic, agricultural chemicals, automotive lubricants, and numerous other consumer and industrial segments. The company says that its clients number over 110,000. It reported a revenue of Rs 2,130 crore in FY24, which is up from its reported revenue of Rs 2,096 crore in FY 2023 and RS 1,474 crore in FY22. It has an annual installed capacity of plastic containers and related materials of approximately 213,000 metric tons.
