Packaging
Graham Packaging Reaches Agreement to Acquire Interest in Indian Packaging Company PPI Blowpack Pvt. Ltd.
Tuesday 10. February 2009 - Graham Packaging Company, L.P., today reached agreement to acquire minority ownership in PPI Blowpack Pvt. Ltd., a leading privately held container manufacturing company based in Mumbai, India. The finalized agreement is expected to be signed in March.
Ashok Sudan, Graham Packaging’s executive vice president and general manager, said the planned acquisition was an important strategic move in the continuing development of Graham Packaging’s global presence.
“We have a large market share in Europe and South America, and this represents a logical next step into another dynamic, high-growth market,” Sudan said.
He added that “PPI Blowpack has a proven record of results, excellent customer relationships, great respect and cooperation between management and employees, and a desire to grow. India is the fastest growing economy outside of China, and our depth and breadth of technology can help PPI Blowpack grow in India and beyond.”
PPI Blowpack has been producing rigid plastic containers for the food, pharmaceutical, chemical, and fast-moving consumer goods markets in India since 1972.
PPI Blowpack founder Prahlad Deora said the two companies share common qualities and vision. Executive Director Puneet Deora said Graham Packaging would be a great strategic partner and he was looking forward to bringing its blowmolding technology and product offerings to India.
“Graham Packaging’s technology portfolio, design strengths, and its focus on quality are very important factors for us, along with its global relationships,” Puneet Deora said. “We have similar market orientations and goals, and we are both extremely customer-focused,” he added. “We think that with Graham Packaging as our partner we can extend our growth much farther than we could otherwise. Moreover, we can finally provide our customers the same packaging solutions in India as are being provided to them globally by Graham Packaging.”
Kapil Gami, business development manager for Graham Packaging, said the rigid plastic container sector in India has been growing at a rate of 15 to 20 percent annually.
He described PPI Blowpack as a company with “strong management and technical teams” and said its “local market knowledge and insights into the cultural aspects of doing business in India” will be significant assets to Graham Packaging.
Graham Packaging currently operates 29 manufacturing facilities outside the United States in Argentina, Belgium, Brazil, Canada, Finland, France, Hungary, Mexico, the Netherlands, Poland, Spain, Turkey, the United Kingdom, and Venezuela.
Based in York, Pennsylvania, USA, Graham Packaging is a worldwide leader in the design, manufacture, and sale of technology-based, customized blow-molded plastic containers for the branded food and beverage, household, personal care/specialty, and automotive lubricants product categories.
The company has an extensive blue-chip customer base that includes many of the world’s largest branded consumer products companies. It produces more than 20 billion container units annually at a total of 83 plants in North America, Europe, and South America, and had sales of $2.49 billion in 2007.