EPL, a global leader in laminated plastic tube packaging backed by Blackstone, on Sunday said that it will merge with Indovida India, a rigid polyethylene terephthalate (PET) packaging platform owned by Indorama Ventures.
The transaction will create a diversified, multi-format packaging platform with a combined valuation of about $2 billion. EPL is being valued at about $1.2 billion-about 70% higher than its closing price on Friday-while Indovida India is valued at roughly $700 million.
After the merger, Indorama Ventures will emerge as the promoter of the combined entity with a 51.8% stake. EPL will remain the listed company, with Indovida India merging into it through a scheme of amalgamation, it said.
Indorama Ventures, listed in Thailand, is one of the world’s leading sustainable petrochemicals producers, with a manufacturing footprint serving local and regional customers across Europe, Africa, Americas and Asia Pacific. The company’s diverse businesses generated revenue of $13.6 billion in 2025.
On Friday, EPL shares closed at Rs 198 apiece on the BSE, signifying a market capital of Rs 6,366 crore. Last year, Indorama Ventures had acquired a minority stake of 24.9% in EPL from Blackstone at a purchase price of Rs 240 per share.
The merger marks a strategic shift for EPL as it evolves from a single-format flexible packaging leader into a broader packaging platform spanning both flexible and rigid solutions. The combined entity is expected to generate roughly $1 billion in revenue and derive nearly 75% of its business from high-growth emerging markets across Asia, Africa and South America, company said.
The merged entity’s earnings before interest and taxes margin for 2025 is expected to expand to 13.6%, compared with EPL’s standalone margin of 12.4%. The valuation framework assigns a premium multiple to EPL, with Indovida India valued at discount of about 35%, which the companies say supports long-term shareholder value creation and is expected to be earnings-per-share accretive from day one.
Hemant Bakshi, managing director and global CEO, EPL, said, “This merger helps transform EPL into a broader multi-format packaging platform with unmatched presence in high-growth emerging markets; focused on innovation for large and emerging brands.”
Source: Economic Times