The Board of Directors of EPL Limited (formerly known as Essel Propack Limited), the world’s largest specialty packaging company, have approved the acquisition of Creative Stylo Packs Pvt. Ltd. in a part-cash and part-stock transaction. 

 

Creative Stylo Packs is an established manufacturer of corrugated boxes, laminated tubes, plastic co-ex tubes and caps-primarily serving personal care, cosmetic, pharmaceuticals and FMCG markets in India.

 

The transaction entails purchase of 72.5% stake in Creative Stylo Packs through cash. The remaining 27.5% stake will be purchased through issuance of EPL shares to the founders of Creative Stylo Packs post the merger. Bhavik Shah and Darshan Shah, the founders of Creative Stylo Packs will join the EPL management team post the acquisition.

 

With this acquisition, EPL plans to make a much stronger play in the beauty and cosmetics categories which are growing rapidly. The richer product portfolio will allow it to serve both existing and new customers better, driving both volumes and value. The acquisition will also boost EPL’s plastic tube capabilities, which, combined with EPL’s strong equity in laminate tubes, gives the company a vibrant platform for growth. The transaction will accelerate revenue and EBITDA growth for EPL.

 

EPL’s Managing Director and CEO, Sudhanshu Vats said, “EPL is committed to leading the pack; simultaneously driving market leading revenue growth as well as capital-efficient and consistent earnings growth. A stronger play in Beauty & Cosmetics is key to this vision. We believe that our acquisition of Creative will enrich our portfolio, enabling us to advance our ambition in personal care. This will also strengthen us further in AMESA (Africa, Middle East and South Asia), a key growth region for us.

 

Speaking on the occasion, Bhavik Shah founder of Creative Stylo Packs said, “Darshan and I are extremely proud of what we have created thus far through innovation and customer centricity and now we have an opportunity to continue and accelerate the growth path through the EPL platform. We are really excited and look forward to working with the EPL team in furthering their cause of being a leading speciality packaging company in the World.”