Knack Packaging plans to raise ₹440 crore through an initial public offering (IPO). The issue will open for anchor investors on June 30 and for others on July 1.
The price band has been fixed at ₹161- 170 per equity share. A discount of ₹16 per equity shares will be offered to eligible employees bidding in employee reservation portion. Bids can be made for a minimum of 88 equity shares and in multiples of 88 thereafter.
The offer comprises of fresh issue of ₹380 crore and an offer for sale (OFS) of ₹60 crore by offloading up to 35 lakh equity shares by the promoters.
The company offers a diverse range of packaging solutions, including Printed and Laminated Woven Polypropylene bags and customised PLWPP Pinch Bottom bags.
The company intends to use ₹320 crore from the issue for setting up a new manufacturing facility at Mehsana in Gujarat and remaining for general corporate purpose.
Alpesh Tulsibhai Patel, Chairman and Managing Director, Knack Packaging, said the company has internal systems to predict the fluctuations in key raw material prices linked to crude oil and negotiates with the customers to protect its margin.
Given the long-standing relationship, he said the company has managed to sail through difficult geo-political situation and intends to strengthen presence in key markets to diversify its customer base.
Incorporated in 2013, company is a manufacturer of bulk flexible packaging solutions, with effective installed capacity of 43,300 tonne per annum of woven polypropylene bags, PLWPP bags, PLWPP pinch bottom bags and others at its plants in Gujarat..
With pan-India presence, the company exports to 71 countries.
Revenue from operations grew from ₹6,54.55 crore in fiscal 2024 to ₹8,23.43 crore in fiscal 2026 at a CAGR of 12.16 per cent, EBITDA margins expanded from 15.38 per cent in fiscal 2024 to 20.42 per cent in fiscal 2026.
Profit After Tax grew from ₹45.97 crore in fiscal 2024 to ₹92.72 crore in fiscal 2026 at a CAGR of 42.01 per cent. Total quantity sold grew at a CAGR of 11.69 per cent from 30,590.10 mt to 38,157.49 mt over the same period.