Essel Propack, world's largest manufacturer of laminated tubes, has acquired the UK-based Arista Tubes, which manufactures plastic seamless tubes, for an undisclosed sum.
The acquisition was made through Lamitube Technologies Ltd, Mauritius, a wholly owned subsidiary of Essel Propack. The acquisition would be funded through a combination of internal accruals and borrowing, said Ashok Goel, managing director of Essel Propack.
Goel, however, was not forthcoming about the acquisition cost. He said the shareholders would be informed about the acquisition cost in due time. Arista Tubes has a turnover of $ 20 million.
He said the acquisition was in line with the company's strategy to expand product line. " In addition, we find the Europe is a big market for laminated tubes," he added.
The tubes are used in cosmetics, personal care, toiletries and pharmaceutical sectors. Essel Propack at present has a plastic seamless tubes plant at Wada, India.
Arista Tubes, UK, founded in 1998, manufactures plastic seamless tubes for cosmetics, personal care, toiletries and pharmaceutical segments.The company has a 30 per cent share of the market in the UK and Ireland and caters to the speciality packaging needs of globally reputed cosmetics, personal care and pharmaceuticals majors in Europe. It has an integrated manufacturing facility at Stevenage near London.