Upcoming IPO: Advent International-backed Manjushree Technopack gets SEBI nod for ₹3,000 crore public issue

Upcoming IPO: Advent International-backed Manjushree Technopack Limited has received the final observation from the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO). The company submitted its draft red herring prospectus (DRHP) to the market regulator on August 20.

Manjushree Technopack Ltd specialises in rigid plastic packaging (RPP) and is, according to its website, the largest RPP player in India by installed capacity. 

The product range includes containers, preforms, caps and closures, pumps and dispensers, as well as in-house recycling capabilities, according to the company's press release.

Manjushree Technopack serves clients such as Varun Beverages Ltd, Dabur India Ltd, Marico Ltd, Honasa Consumer Ltd, Hershey India Pvt. Ltd, Kansai Nerolac Paints Ltd, Pernod Ricard Private Ltd, and Parag Milk Foods Ltd. 

The company also has a diversified base of 964 customers as of the financial year ended 2023-24. Manjushree Technopack's revenue from operations rose to ₹2,117 crore from ₹1,467.05 crore between the financial year 2022 and 2024 recording a CAGR of 20.13 per cent.

Manjushree Technopack IPO Details

Manjushree Technopack IPO is offering shares at a face value of ₹2 per share. The public issue combines a fresh issue of shares of up to ₹750 crore and an offer-for-sale (OFS) component of up to ₹2,250 crore by AI Lenarco Midco Limited. 

The rigid plastic packaging (RPP) company plans to use ₹500 crore from the proceeds of the public issue to fund the repayment or pre-payment of its outstanding debt. Apart from that, the company also aims to fund its inorganic growth plans through acquisitions and other strategic investments. The remaining money will be used to fund general corporate purposes. 

JM Financial Limited, Avendus Capital Private Limited, Citigroup Global Markets India Private Limited, Global Sachs (India) Securities Private Limited and ICICI Securities Limited are the book-running managers for the public issue, and KFin Technologies Limited is the registrar to the offer.