Financial details of the transaction were not disclosed, but a person aware of the development said the two investors are investing close to $70 million for the acquisition
Private equity firm ADV Partners and Premji Invest on Tuesday said they have acquired a significant majority stake in plastic moulding company Micro Plastics Pvt. Ltd (MPPL).
MPPL offers an integrated solution for its customers, from designing to shipping final products for diverse industries ranging from toys and model hobby kits to sports equipment. The company serves a diverse range of industries, including toys, consumer goods, sports equipment, auto, power tools, electronics, healthcare, furniture, and home appliances.
“This investment will catalyze the next stage of MPPL’s growth plans by supporting significant expansion and development of new manufacturing facilities to cater to increasing demand from customers. The investment also builds on MPPL’s success and robust revenue growth of over 20% over the past five years in CAGR terms," the investors said in a statement.
Financial details of the transaction were not disclosed. However, a person aware of the development told Mint that the two investors are investing close to $70 million for the acquisition.
MPPL is headquartered in Bengaluru and operates five manufacturing facilities in and around the city. MPPL founder and managing director, Vijendra Babu, will continue to retain a stake in the business and drive the company along with a very experienced senior leadership team.
“The toy sector in India holds a lot of potential both on the export and domestic fronts. MPPL has emerged as a key Indian contract manufacturer for leading global brands, and we look to build these relationships further. We also look forward to broadening our footprint in consumer goods, healthcare, and sports, among other sectors," said Babu.