The acquisition happened at a price of DKK 119 million (~Rs 125 crores), corresponding to an EBITDA multiple of around 9.

Mohan Fibre operates a factory near the city of Chandigarh, which is located around 250 kilometres north of New Delhi.

A press note released by the company expressed that the transaction establishes a solid platform for Hartmann in the attractive Indian market, which is characterised by a favourable demographic development and increasing egg and fruit production. The combination of population growth and rising urbanisation in the coming years forms a solid foundation for continued development of the retail industry and increasing demand for quality egg packaging. In addition, the penetration of moulded-fibre packaging for protection of fruit is expected to increase as supply chains are professionalised.

Torben Rosenkrantz-Theil, CEO of Hartmann, commented, “Mohan Fibre is a profitable company and will improve our earnings from day one. The acquisition marks a strategic decision to enter into the great Indian market in which we see significant growth potential.”