Huhtamaki, a leading Finnish manufacturer of consumer and specialty packaging, acquired Mumbai-based flexible packaging firm Positive Packaging for Rs 2,008 crore (USD 336 million).
Positive Packaging has nine manufacturing facilities spread across the country and the United Arab Emirates as well as significant business presence in Africa.
"Together with Positive Packaging, Huhtamaki will become a leading flexible packaging provider in fast-growing emerging markets. With the acquisition, we plan to expand our flexibles manufacturing into the Middle East and double our sales in Africa with an unmatched footprint," Huhtamaki Flexible Packaging Executive Vice-President Shashank Sinha told PTI here today.
In addition, Positive Packaging's expertise in high quality printing and cylinder making, as well as its focus on innovations are a perfect fit for Huhtamaki's growth strategy, he said.
"It further enhances our position here and provides us a much-improved access to the fast-growing markets of Africa and the Middle East," Huhtamäki Oyj chief executive Jukka Moisio said.
Positive Packaging's annual net sales would be around 220 million euros and it employs around 2,500 people here and the UAE as well as in seven countries.
"Huhtamaki will acquire Positive Packaging for a debt free purchase price of EUR 247 million (USD 336 million)," an official statement said.
The transaction is subject to the approval of competition authorities and other regulators and it is expected to be finalized in the fall, it added.
After the deal, Positive Packaging will become part of Huhtamaki's flexible packaging business.