JK Paper, part of the JK Group, has approved the acquisition of a 72% stake in Goa-based folding carton maker Borkar Packaging for approximately INR 235 crore (USD 27 million). Of this, 65.7% will be bought from current shareholders, and the remaining 6.3% through fresh equity issuance, with the deal expected to close in about 12 weeks.

The move comes amid headwinds: JK Paper reported a 42% year-on-year drop in net profit, which plunged to INR 812.3 million in the quarter ending 30 June 2025, reflecting pressure from cheaper imports and rising domestic wood pulp costs. Revenue from operations declined by 2.3% to INR 16,742 million, while raw material expenditure rose by 9%.

This acquisition marks JK Paper’s fifth foray into the packaging sector over the past three years, and its third deal in just eight months, having previously acquired firms such as Horizon Pack, Securipax Packaging, Manipal Utility, and Radheshyam Wellpack, all within the corrugated packaging segment.

With the Borkar acquisition, JK Paper aims to cement its position among the top three players in India’s folding cartons market while enhancing its breadth in secondary and tertiary packaging offerings. Borkar Packaging reported revenue of INR 393.2 crore in FY 2023-24, slightly down from INR 404.6 crore in FY 2022-23, and operates eight manufacturing units across India, catering to major clients including Unilever, Nestlé, Colgate, Dabur, among others.