EPL Limited and Indovida to Merge, Creating a Consumer Packaging Leader for Emerging Markets
EPL Limited, a global leader in flexible packaging solutions backed by Blackstone, and Indovida India Private Limited, a leading global rigid PET packaging platform backed by Indorama Ventures, have signed definitive agreements to merge. The merger will establish a ~$2 billion valuation entity, with EPL being valued at ~$1.2 billion and Indovida being valued at ~$0.7 billion.The combined platform will have ~$1 billion in revenue and is expected to result in sizable synergies driven by complementary geographic footprint and products, procurement & supply chain efficiency, and strong sustainability initiatives. EPL's valuation reflects a premium to the multiple ascribed to Indovida, with Indovida being valued at a ~35% discount to EPL.
Indorama Ventures will become a co-promoter of the company, holding 51.8% ownership. Blackstone will own a 16.6% stake in the merged entity. Mr. Hemant Bakshi will remain the Group CEO and Mr. Sunil Marwah will continue to lead the Indovida business.
Key Highlights of the Merger:
| Feature | Detail |
|---|---|
| Combined Revenue | ~$1 billion |
| Combined Valuation | ~$2 billion |
| EPL Valuation | ~$1.2 billion |
| Indovida Valuation | ~$0.7 billion |
| Indorama Ventures Ownership | 51.8% |
| Blackstone Ownership | 16.6% |
| EPL Valuation Premium | 70% higher than Friday's closing price |
| Indovida Valuation Discount | ~35% discount to EPL |
| 2025 EBIT Margin (Merged Entity) | 13.6% |
| 2025 RoCE (Merged Entity) | 20.9% |
The transaction aligns with Indorama Ventures' long-term strategy to expand its presence in India and is expected to close in the next ~12 months. It will be implemented through a scheme of amalgamation, with EPL continuing as the listed entity. Goldman Sachs is acting as financial advisor, and Trilegal, Khaitan & Co. and Chandhiok & Mahajan are acting as legal counsels.
According to EPL Limited, the merger transforms EPL into a broader multi-format packaging platform focused on innovation for large and emerging brands. EPL Limited employs over 6,000 people across 11 countries and 21 manufacturing facilities. Indovida has 19 manufacturing facilities across 9 countries and is wholly owned by Indorama Ventures.
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