Advent International backed MTL (Manjushree Technopack Ltd) India's largest rigid plastics packaging solutions company has acquired National Plastics (NAPLA), one of the leading players in spraying and dispensing systems and solutions in India (slump sale, on a going concern basis). This is the first acquisition by MTL since Advent bought majority stake in the company last year. Through this deal MTL will expand its offerings to clients, by adding adjacent categories like dispensers and sprayers to its existing product portfolio -containers and preforms. This merger will also help MTL acquire new clients in this segment across various regions in India. The acquisition is expected to contribute 4-5% of the overall revenue for MTL over the next 5 years. In 2016, MTL had acquired Delhi-based rigid packaging firm, Varahi Polymers.
According to MTL's estimates, the value of the dispenser market in India is expected to double from $ 50 million in FY19 to $100 million by 2023.
Announcing the acquisition, Sanjay Kapote, CEO, MTL said, "We see significant opportunities in the spraying and dispenser market. NAPLA's market leadership in the dispenser and spray systems will help MTL expand its product offerings to existing customers as well as enter new markets in South Asia. We will invest in R&D and new business development to bolster NAPLA's growth."
Based in Punjab, NAPLA was founded in 1988 by Manish Saggar. The firm manufactures lotion pumps, liquid dispensers, trigger sprayers, fine mist sprayers, cosmetic / serum pumps, perfume spray packs for leading brands in India and South Asia. Some of NAPLA's clients include Reckitt Benckiser, HRI, ITC, Godrej Consumer, Marico, Patanjali Ayurved, SC Johnson, 3M, and Sun Pharma among many others.
According to Manish Saggar, Founder, NAPLA, "The acquisition by MTL will help NAPLA expand its capabilities, product range and client base. With the bigger MTL team and bandwidth, and increased research & development activities, new, innovative products can be brought in and enhanced customer satisfaction can be provided.
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