Creation Worldwide plans $300-400 m IPO of Manjushree Technopack

Creation Worldwide is an preliminary public providing within the vary $300-400 million for its portfolio firm Manjushree Technopack with a valuation of $1.5-2 billion, sources stated.

In 2018, the US-based international personal fairness agency had acquired a 40 per cent stake within the packaging agency from Kedaara Capital that had then valued it at round ₹2,400 crore (about $289 million). It subsequently acquired extra stake from the promoters and fully controls it now.

The PE agency has been evaluating a number of choices to monetise its stake within the firm, together with a complete sale to a different personal fairness agency or a strategic. Nonetheless, the IPO route is seen as extra engaging with the first market in India booming and an insatiable urge for food for fairness issuances. Creation Worldwide declined to touch upon its plans.

Unlisted shares of Manjushree are buying and selling at round ₹700 a share, with a market capitalisation of ₹4,742 crore, which is significantly decrease than the valuation it’s searching for.

Financials & acquisitions

In FY24, Manjushree Technopack reported internet revenue of ₹140.8 crore in comparison with ₹59 crore a yr in the past. It reported a income of ₹2,117 crore (₹2,096 crore). It generated money of ₹378 crore from operations in comparison with ₹349 crore within the earlier yr.

In FY18, earlier than the acquisition by Creation Worldwide, it had reported income of ₹924 crore.

It has 22 manufacturing vegetation with a capability of two.6 lakh tonnes each year. In 2020, it had arrange a greenfield manufacturing facility in Silvassa and in 2023 new services in Visakhapatnam and Mysuru.

In 2019, it acquired pumps and triggers maker Napla. In 2021, it acquired the B2B enterprise of Pearl Polymers & Stylish Kontainers and in 2022 it purchased two manufacturing items in Maharashtra from Hitesh Plastics foraying into the extremely specialised caps and closures market.

Manjushree Technopack gives inflexible plastic packaging options with end-to-end packaging options throughout containers, preforms, caps and closures, pumps and dispensers and captive recycling capabilities in a variety of industries together with meals and drinks, dwelling care, private care, liquor and spirits, paints and adhesives, prescription drugs, nutraceuticals, dairy, automotive and agrochemicals.