Borosil acquires 60.3 per cent stake in Klasspack for an undisclosed sum
01 August 2016
Borosil Glass Works Ltd has acquired a controlling stake of 60.3 per cent in Nashik-based Klasspack Pvt.
The acquisition was carried out by way of primary infusion and secondary purchase of shares. However, the financial terms of the deal were not disclosed.
While a majority of the funds were by way of primary infusion into the company, there was a smaller secondary purchase of shares as well.
Avendus advised Borosil on the transaction.
''With this acquisition, Borosil wishes to further its vision of being India's most customer centric company. Our investment will help Klasspack to ramp up facilities and production to give our current pharmaceutical customers a high quality choice for sourcing their pharmaceutical packaging needs,'' said Shreevar Kheruka, MD at Borosil.
''Borosil already enjoys a high brand equity and quality reputation in the pharmaceutical industry and we are confident that our existing customers will substantially benefit from this transaction,'' he added.
Klasspack, a closely held company with manufacturing facilities in Nashik, Maharashtra, is a manufacturer of glass ampoules and tubular glass vials used as primary packaging materials by pharmaceutical companies.
Borosil plans to combine its technological expertise in specialty glass production with Klasspack's experience in world-class glass ampoule and tubular glass vial production to offer pharma majors a reliable partner to source their primary glass packaging.
Prashant Amin, MD, at Klasspack said, ''Klasspack will enormously benefit from Borosil's brand equity and market reach, while Borosil will be able to leverage Klasspack's manufacturing set-up and product development capability to expand offerings and augment their product portfolio. We are very excited about this partnership and the enhanced value that will be created for end customers''.
Borosil is a manufacturer of high quality glassware and is the market leader for laboratory glassware for India's leading pharmaceutical companies, research laboratories, healthcare, science and educational institutes.
Borosil glass has found use in more than 2,000 different products and applications in areas as diverse as microbiology, biotechnology, photo printing, process systems and lighting.