Mumbai: EPL Limited is positioning itself for a major global leap, as it moves ahead with a strategic merger aimed at reshaping its footprint across high-growth emerging markets.
EPL Limited has entered into a merger with Indovida India Private Limited, a move that will double its scale and create a combined entity with revenues of Rs 8,300 crore. The merged business is expected to deliver EBITDA of approximately Rs 1,750 crore, significantly strengthening its financial profile. The transaction was approved by the board on March 29, 2026, and is structured as a share swap, keeping it cash neutral.
The combined entity will benefit from improved financial metrics, including a stronger balance sheet and enhanced cash generation. Indovida’s net cash position is expected to reduce EPL’s debt-to-EBITDA ratio to 0.25 from 0.65. Together, the companies are projected to generate substantial free cash flows, with around 60 to 65 percent of EBITDA converting into cash, providing room for future investments and acquisitions.
Management highlighted that the merger brings together complementary strengths in flexible and rigid packaging. Indovida operates across 19 facilities in nine countries, with nearly 90 percent of its revenue coming from emerging markets. EPL, which already operates in 11 countries with 21 manufacturing sites, will gain access to new geographies such as Vietnam and Nigeria while enabling Indovida to enter markets like India and Latin America.
The company expects annual synergies of 35 million dollars to 50 million dollars, driven by geographic expansion, product diversification, and cost efficiencies. The merged platform will also diversify its customer base, adding major global brands across beverage, personal care, and consumer goods segments. Leadership emphasized that the deal aligns with its vision to become a leading consumer packaging player focused on emerging markets.
The merger process is expected to take around 12 months, subject to regulatory and shareholder approvals, including the majority of minority shareholder consent.
Disclaimer: This article is based solely on the company’s official conference call transcript and regulatory filing and does not include independent verification or additional sources.
