Cosmo Films completes acquisition of US based GBC Commercial Print Finishing for US$ 17.1 million

Cosmo Films Ltd has announced that it has successfully completed acquisition of GBC Commercial Print Finishing with global revenues of approximately $100 million. GBC Commercial Print Finishing is the thermal lamination division of ACCO Brands, Inc. and has been bought by Cosmo Films Ltd. for a consideration of US $ 17.1 million. Cosmo Films is the leading manufacturer of BOPP and thermal lamination films with global sales of approximately US $130 million. It is the largest exporter of BOPP and, thermal lamination films from India.

GBC Commercial Print Finishing is an industry leader, providing thermal lamination films and equipment in Europe, North America, Japan, and the Pacific Rim. It is the only print finishing market participant that provides a complete solution in all major markets across the globe, including both laminating equipment and thermal film. Post this acquisition, Cosmo Films Ltd. will successfully establish themselves as the global leader in thermal lamination segment.

According to Mr. Ashok Jaipuria, Chairman & CEO, Cosmo Films Ltd, "This acquisition represents a key milestone for Cosmo Films With this acquisition, we will be able to strengthen our footprint in the global market and provide our customers with world class services This deal is a strategic step signifying 'an acquisition for the future' that will immensely benefit the Indian manufacturing and packaging industry and enable it to reach newer heights".

Cosmo Films Ltd., which is already a major exporter of thermal laminates to Europe and US, will now also gain significant access and establish a strong foothold in the other major global markets. Due to vertical integration this will also have a substantial value addition, higher top line, and a global customer base.

The stock closed the day at Rs.95.80, up by Rs.0.10 or 0.10%. The stock hit an intraday high of Rs.103 and low of Rs.95.55.

The total traded quantity was 81018 compared to 2 week average of 100630.

Source : Equity Bulls

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