Blackstone Appoints Bankers for Piramal Glass IPO
Blackstone, the leading investment firm, successfully acquired Piramal Glass in 2020 from the Ajay Piramal family at a valuation of $800 million. As part of their strategic plans, Blackstone has now appointed a trio of financial powerhouses—Axis Capital, Bank of America, and HSBC—as the lead bankers for the proposed initial public offering (IPO) of PGP Glass, previously known as Piramal Glass. This information was shared by sources familiar with the situation to The Economic Times.
Financial Highlights of PGP Glass IPO
– IPO Objective: PGP Glass aims to raise approximately $400 million to $500 million through its public listing.
– Valuation Expectations: Reports suggest that Blackstone is considering an IPO valuation of around $4 billion.
– Ownership: PGP Glass is wholly owned by Blackstone.
About PGP Glass
PGP Glass is recognized as a global leader in the design, production, and decoration of glass packaging. The company caters to various industries, including:
– Cosmetics & Perfumery
– Food & Specialty Spirits
– Pharmaceuticals
With a robust presence in India and Sri Lanka, PGP Glass operates at an impressive capacity of 1,720 tonnes per day, supported by 12 furnaces and 70 production lines. The company also boasts offices and warehousing facilities across multiple countries, including France, Germany, Turkey, Spain, Brazil, the UAE, and the UK. Catering to clientele in over 50 countries, approximately 77% of its sales stem from high-end cosmetics and specialty spirits.
Historical Context
Incorporated in 1974 as Gujarat Glass and later acquired by the Piramal Group in 1984, Piramal Glass underwent significant transformations. The timeline includes:
– 1990: Merged with Piramal Healthcare Limited.
– 1998: The glass division was spun off into a subsidiary.
– 2003: Private equity investors acquired a 46% stake in the subsidiary, leading to further restructuring.
– July 2003: Piramal Healthcare divested its remaining 54% stake, creating Kojam Fininvest, which eventually merged back into Gujarat Glass and rebranded as Piramal Glass Limited.
While the company was delisted from stock exchanges effective July 2014, it remains poised for renewed public interest through its upcoming IPO.
Conclusion
With Blackstone’s backing and strategic planning for the PGP Glass IPO, the company is set to enhance its market presence and financial standing. The anticipated IPO not only represents a significant financial maneuver but also highlights PGP Glass’s commitment to growth and innovation in the glass packaging industry. Investors and market watchers alike are keenly awaiting further developments in this promising venture.