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Canpac secures investment to expand its operations

29 Mar 2021 (Last Updated March 29th, 2021 16:17)

India-based packaging solutions company Canpac has secured an investment of Rs600m ($8.3m) from JM Financial India Fund II.

Canpac secures investment to expand its operations
Canpac manufactures packaging such as folding cartons and corrugated boxes. Credit: z287marc / Flickr.

India-based packaging solutions company Canpac has secured an investment of Rs600m ($8.3m) from JM Financial India Fund II.

The company will use the new investment to increase its existing capacities.

This marks the seventh investment by the JM Financial India Fund II, a growth-capital private equity fund that is part of JM Financial Group.

The investment is part of JM Financial India Fund II’s strategy to invest in growth companies in the mid-market space.

Anoma Legal acted as legal advisor to Canpac, while Economic Laws Practice acted as legal advisor to JM Financial India Fund II.

Canpac managing director Nilesh Todi said: “We have emerged as a fast-growing packaging player in the country, with a key focus on folding carton and corrugated boxes.

“This growth capital infusion and partnership with a seasoned investor like JM Financial Private Equity will help us accelerate our current expansion plans and expand our market share.”

JM Financial PE and Equity AIFs managing director and CEO Darius Pandole said: “Increased consumption of packaged goods, growth in organised retail and e-commerce and increasing premiumisation will drive growth for organised packaging players. Canpac is well-positioned to capture this growth spectrum.

“With its in-house manufacturing facilities and research and development, Canpac offers superior quality products to its customer base in a timely manner, thus emerging as a one-stop packaging solutions provider for its customers.

“The fund infusion will help the company scale up its business and expand its market share.”

Canpac produces packaging such as folding cartons, corrugated boxes, paper bags, flexible laminates and luxury boxes.

The company supplies a wide range of products and design solutions for various industries from its manufacturing plants in Gujarat and Tamil Nadu.