Constantia Flexibles has agreed to purchase a majority stake in Indian flexible packaging firm Creative Polypack for an undisclosed sum.
Constantia Flexibles CEO Alexander Baumgartner said: “Through this acquisition, we will become the third largest flexible packaging company in India – the fastest growing packaging market globally, with double-digit growth rates driven by the megatrend urbanization and the expansion of the retail sector.”
Established in 1986, Creative Polypack produces film-based flexible packaging solutions for the food and home & personal care (HPC) industries.
It produces various structures of laminates for different products such as detergent powders, shampoos & hair oil, tea and coffee, potato chips & snacks and industrial products.
Baumgartner said: “In addition, we gain a stronger footprint in the HPC market, which complements our existing customer portfolio, while we are now able to cover the whole of the Indian subcontinent with our extensive production footprint.”
In addition, Creative Polypack produces soap wrappers with PET/BOPP film laminated solutions and PEG coated paper. The firm also manufactures extrusion laminate solutions and food laminate solutions.
With around about 850 employees, the company operates eight production facilities in Baddi, Kanpur, Kolkata, Assam and Puducherry in northern, eastern and southern India.
Creative Polypack supplies its products to the domestic and international consumer goods companies in India.
As per terms of the deal, the senior management in Creative Polypack will continue in their current positions to help expand the operations of the company.
Subject to regulatory approvals, the deal is expected to complete in the coming weeks.
Since acquiring Parikh Packaging in 2013, Constantia Flexibles has been supplying film-based flexible packaging solutions to the customers in the Indian market.
Ahmedabad-based Parikk is developing a new Greenfield facility for the production of high barrier laminates, which can be fully recycled.
The facility, which is expected to be operational in 2019, will feature an advanced polyethylene blown film extruder, high-definition Flexo printing press and laminators.
With around 7,200 employees, Constantia Flexibles produces packaging solutions at 32 facilities in 18 countries.
Image: Constantia Flexibles to acquire majority stake in Creative Polypack. Photo: courtesy of PinkBlue / FreeDigitalPhotos.net.