Japanese automatic packaging machinery maker Omori Machinery Company has acquired a majority stake in horizontal flow wrap machinery and related systems manufacturer Multi Pack Systems Pvt Ltd.
Omori Machinery acquired the stake in collaboration with Development Bank of Japan (DBJ), as per a company announcement which did not give further details of shareholding or the deal value.
However, VCCircle learns that the deal involves stake acquisition of around 80 per cent for Rs 185 crore ($29 million), valuing the firm at Rs 231 crore.
Vadodara-based Multi Pack Systems Pvt Ltd manufacturers horizontal flow wrap machinery and related systems for food and non-food applications which are used for wrapping biscuits and cookies, chocolate bars, cereal bars, nutraceuticals/snack bars, noodle cakes and such other food products.
Its clients include Britannia, Cadbury, Danone, GSK, ITC, Kellogg’s, Kraft Foods, Nestle, Parle, Pepsi and Sara Lee.
The firm's flow wrappers have also been adapted to handle some non-food personal care products like soap bars/detergent cakes, hygiene and sanitary products as well as mosquito repellent coils, electrical switches, pharma blisters, etc. The company has 3,100 installations across Asia, Middle East and Africa.
BMR Advisors acted as the financial advisor to Multi Pack Systems on this deal while Kanga & Co was the legal advisor to the promoters of the firm. KNM & Partners was the Indian legal advisor and Matsuda & Partners was the foreign legal advisor to Omori for the transaction.
(Edited by Joby Puthuparampil Johnson) Leave Your Comment