Companies

Premji Invest picks up significant stake in SB Packagings for $25 million

Our Bureau Bengaluru | Updated on August 12, 2021

Azim Premji   -  KSL

Delhi-based SB Packagings (SBP) said Premji Invest has picked up a significant stake in the company. The deal size is estimated to be around $25 million.

The transaction primarily involves partial stake sale held by the existing shareholders in SBP and infusion of primary capital for capacity expansion and for inorganic acquisitions to enable faster scale-up of its product portfolio for both domestic and international markets, a press statement from the company said.

Founded in 1989, SBP is a manufacturer of flexible packaging materials in India, supplying to major players in the hygiene and food industry including P&G, J&J, Unicharm, Kimberly Clark, Nobel Hygiene, Walmart, Future Group, PepsiCo, Dabur, and Tata among other leading brands. Post-transaction, Amit Banga, son of founder OP Banga, will continue to remain a significant shareholder in the company and will continue to drive the business, supported by a professional management team further bolstered by the financial and strategic support from Premji Invest.

“We have grown steadily over the last decade, winning the trust and market share with our marquee global customers who have a very high threshold for quality and consistency. Innovation and Sustainability have been the core pillars of SBP’s business model. With the backing from Premji Invest, one of India’s leading PE investors, we look forward to further expanding our capabilities through organic and inorganic routes thereby strengthening our position in the Indian flexible packaging industry," Banga said.

Premji Invest is the investment arm of Azim Premji's endowment and philanthropic initiatives. It has been active in investing in the Indian markets for over 10 years with large investment corpus. The focus of investments has been to grow medium-sized Indian companies into large companies that can compete globally. Premji Invest’s investments are spread across sectors like consumer, financials, technology, and manufacturing and include, Fab India, Hygienic Research, ID Foods, Lenskart, Policy Bazaar, Flipkart, Gold Plus Glass and Shubham Housing.

EY and Khaitan & Co acted as advisors to SB Packagings on the transaction.

Published on August 12, 2021

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

This article is closed for comments.
Please Email the Editor

You May Also Like