[dropcaps style=’2′]Huhtamaki has entered into an agreement to acquire the Indian business and related assets of Ajanta Packaging, a privately owned manufacturer of pressure sensitive labels. The acquisition will further strengthen Huhtamaki’s labeling business in India by adding new printing technologies into its offering as well as improving its innovation capability. The acquisition is complementary to Huhtamaki’s existing labeling product portfolio.[/dropcaps]
The annual net sales of the business to be acquired are approximately EUR 10 million. Ajanta employs altogether 170 people and has two state-of-the-art manufacturing facilities located in Daman (West India) and Baddi (North India). The debt-free purchase price is approximately EUR 13 million. The enterprise valuation of the transaction is Rs 100.3-crore in Indian currency. The transaction is expected to be closed at the end of April 2018. The business will become part of the flexible packaging business segment.
In 2012, Huhtamaki acquired 51% shares in Mumbai-based Webtech Labels. In 2017, HPPL’s subsidiary Webtech Labels set up a label manufacturing unit in Sikkim, to service its customers based in North East India.