Paper and packaging board company JK Paper has announced the acquisition of Horizon Packs (HPPL), and Securipax Packaging (SPPL) in phases for about Rs 578 crore. HPPL and SPPL are India’s leading corrugated packaging manufacturers with seven plants across the country, the company said in a regulatory filing.

“JK Paper has entered into a share purchase and shareholders’ agreements for the acquisition of 85% shares of HPPL and SPPL, and the balance 15% within 3 years as per the respective SPSHAs,” the filing said.

JK paper will acquire 26.92 crore equity shares in HPPL for Rs 19.33 per share and 4.63 lakh equity shares for Rs 1,256.95 apiece in SPPL – representing an 85% cent stake in each company.

Incorporated in 2021, Horizon Packs is headquartered in Mumbai and has six plants across India. Delhi-based SPPL, incorporated in 1980, has its manufacturing facility at Roorkee.

“It is a privilege to join hands with India’s largest player in the Corrugated Packaging segment. This together with JK Paper’s upcoming corrugated facility in Ludhiana will establish it as the largest player in the corrugated packaging industry,” JK Paper vice chairman and managing director Harsh Pati Singhania said.

“This acquisition gives us an opportunity to benefit from the existing strengths of HPPL and SPPL. HPPL and SPPL’s customers, employees, vendors and partners will benefit from JK Paper’s strong manufacturing knowledge and experience,” Singhania said.