EPL, a global leader in flexible packaging backed by Blackstone, and Indovida India, a leading global rigid PET packaging platform backed by Indorama Ventures, have signed definitive agreements to merge. 

 

The boards of both companies have approved the merger, which remains subject to regulatory and shareholder approvals.

 

The deal creates a combined packaging platform valued at approximately $2 billion, with EPL valued at $1.2 billion—70% above its last Friday closing price—and Indovida at $0.7 billion.

 

“This merger represents a defining moment in EPL’s journey. 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. 

 

"The combined capabilities, customer relationships and global footprint position us to become the partner of choice for customers and drive growth across categories and markets. I am excited to welcome the Indovida team to the EPL family and look forward to building an exciting future together,” said Hemant Bakshi, Managing Director & Global CEO, EPL.

 

The merger marks a major step in EPL’s evolution from a single-format flexible packaging leader to a scaled, multi-format platform serving global and regional customers across high-growth emerging markets.

 

For Indorama Ventures, the deal supports its long-term strategy to expand in India and leverage structural growth opportunities. 

 

“Indovida has been built as a customer-centric, operationally strong packaging platform. Our initial minority investment in EPL was reflective of our belief that it is an extremely attractive business with great future potential, globally as well as in India. Combining Indovida with EPL is the logical next step, and enables us to extend that foundation across formats and markets. 

 

"With our combined scale, supply chain resilience and sustainability capabilities, the merged entity is well positioned to deliver long-term value to customers and shareholders alike. The merger also meaningfully advances Indorama Ventures’ strategic objective of deepening its presence in India, strengthening our downstream packaging footprint and reinforcing India as a key growth market within our global portfolio,” said Aloke Lohia of Indorama Ventures.

 

Animesh Agrawal, Managing Director at Blackstone and EPL board director, added: “This transaction marks a milestone for the industry. In today’s evolving market environment, scale brings resilience, operational strength, and a greater ability to deliver value to customers. 

 

'Larger companies are better positioned to navigate the current environment and strengthen their market position. This merger creates a leading emerging markets platform with a strong competitive position and significant growth potential, both organic and inorganic. We are excited for the company’s next phase of growth and value creation.”

 

Strategic rationale

 

Scale: The merged entity will become one of the leading emerging-markets-focused packaging companies with roughly $1 billion in revenue.

 

Growth Potential: ~75% of MergeCo revenue will come from emerging markets, leveraging complementary geographic presence.

 

Synergies: Expected efficiencies include combined products, procurement and supply chain, plus strong sustainability initiatives.

 

Valuation: EPL’s valuation carries a premium to Indovida, with Indovida valued at a ~35% discount, driving long-term shareholder value and EPS accretion from Day 1.

 

Margin Accretion: 2025 EBIT margin projected to expand from 12.4% (EPL) to 13.6% (merged entity); RoCE projected to rise from 18.7% to 20.9%.

 

Management Strength: The combined team brings deep expertise across South Asia, Africa, and Latin America.

 

The merger positions EPL and Indovida as a powerhouse in emerging markets, combining flexible and rigid packaging to drive growth, innovation, and sustainability across global markets.