Manipal Utility Packaging Solutions acquired by JK Paper.

The Board of JK Paper Ltd. at its meeting held on 16 October 2023 has approved acquisition of Gautham Pai led Manipal Utility Packaging Solutions for a consideration of Rs 88.72 crore (purchase cost of Rs 21.80 per share of Rs 10 each for 4.07 crore equity shares representing 100% of capital). Manipal Utility Packaging Solutions is amongst the top 10 Packaging and Label companies in India with 8 decades of expertise. JK Paper Mill unit at Rayagada (Odhisa) was established in 1962. Today they are a leading Indian player in Office Papers, Coated Papers, Writing and Printing Papers and High-end Packaging papers and Boards.

Earlier in November 2022 JK Paper announced acquisition of Horizon Packs and Securipax Packaging for Rs 590 crore. The two acquisitions are India's largest corrugated packaging manufacturers with a revenue of Rs 832 crore in FY21-22. As per market reports, this move is considered "smart use of bumper cash flows (Rs 960 crore) for forward integration." Horizon Packs (established in 1991) has factory locations in Rudrapur, Baddi and Roorkee in the north as well as Tindivanam, Harohalli, Pondicherry and Chennai in the south to Khamgaon and Nagpur in the west and Kolkata in the east. Securipax Packaging has its manufacturing facility at Roorkee. Key customer segments for the company constitute food & beverage, and FMCG

With these moves JK Paper is also firmly into printing and package converting. This is a very strong move with them being producers of papers for labels, paperboards for packaging, and then converting to labels, folding cartons and corrugated cartons. This places them in an extremely advantageous and leading position in the India labels and package printing industry to take on the huge and growing demand for packaging.

Reported by Harveer Sahni, Chairman Weldon Celloplast Limited October 2023