Gujarat-based glassware company Borosil Glass Works has acquired a 60.3% stake in Nashik-based Klasspack for an undisclosed amount to enter the primary pharmaceuticals packaging business, according to a statement.
Klasspack makes glass ampoules and tubular glass vials which is used as primary packaging materials by pharmaceutical firms.
The transaction included a mixture of primary fund infusion in the company as well as sale of secondary shares.
With compliance becoming increasingly stringent in the Indian pharmaceutical sector, Borosil plans to combine its technological expertise in specialty glass production with Klasspack’s experience in glass ampoule and tubular glass vial production, it said.
“Our investment will help Klasspack ramp up facilities and production to give our pharmaceutical customers a choice for sourcing their pharmaceutical packaging needs,” said Shreevar Kheruka, managing director, Borosil.
“Klasspack will benefit from Borosil’s brand equity and market reach, while Borosil will be able to leverage Klasspack’s manufacturing set-up and product development capability to expand their product portfolio,” said Klasspack managing director Prashant Amin.
Klasspack’s turnover is around Rs 30 crore, according to a CNBC report.
This is Borosil’s second acquisition this year. In January, it acquired Hopewell Tableware for Rs 27 crore to enter the dinnerware business.
Avendus Capital was the advisor for Borosil.
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