IPO Overview
Incorporated in 2013, Knack Packaging Limited is a manufacturer of bulk flexible packaging solutions, with an effective installed capacity of 43,300 MT per annum (as of March 2026) of woven polypropylene (WPP) bags, PLWPP bags, PLWPP pinch bottom bags and others at its plants in Gujarat. The company is one of the leading, integrated, innovation-oriented, export-led, and sustainable-oriented packaging solutions providers, offering a diverse range of packaging solutions — including Printed and Laminated Woven Polypropylene (PLWPP) bags and PLWPP Pinch Bottom bags — that are customized, high-strength packaging solutions for a wide range of sectors, including food products and pet foods. The company serves diverse industries such as food, pet food, agriculture, chemicals, fertilisers, and construction materials, offering customised packaging solutions that enhance product protection and brand visibility. With a presence in 71 countries and a portfolio of over 1,950 customers, Knack Packaging has established itself as a strong player in both domestic and international markets. Its JV at Latin America-US has gone on stream in April 2026, which will contribute to its export earnings.
The company is now launching its mainboard IPO, to be listed on both the BSE and NSE. The ₹439.50 crore IPO comprises a fresh issue of ₹380.00 crore and an Offer for Sale (OFS) of ₹59.50 crore. The price band is set at ₹161–₹170 per share, with a lot size of 88 shares. The IPO opens on 1 July 2026 and closes on 3 July 2026, with listing expected on 8 July 2026.
IPO Detailed Information
Issue Details
| Parameter | Details |
| IPO Type | Book Built – Mainboard |
| Listing Exchange | BSE & NSE |
| Anchor Investor Bidding Date | 30 June 2026 |
| IPO Open Date | 1 July 2026 |
| IPO Close Date | 3 July 2026 |
| Allotment Date | 6 July 2026 (Expected) |
| Refund Initiation | 7 July 2026 |
| Credit to Demat | 7 July 2026 |
| Listing Date | 8 July 2026 (Tentative) |
| Price Band | ₹161 – ₹170 per share |
| Face Value | ₹10 per share |
| Lot Size | 88 shares |
| Minimum Investment (Retail) | ₹14,960 (approx) |
| Issue Size | ₹439.50 crore |
| Fresh Issue | ₹380.00 crore (2,23,52,941 shares) |
| Offer For Sale (OFS) | ₹59.50 crore (35,00,000 shares) |
Issue Break-up
| Category | Allocation |
| Qualified Institutional Buyers (QIB) | Not more than 50% |
| Non-Institutional Investors (NII) | Not less than 15% |
| Retail Individual Investors (RII) | Not less than 35% |
| Employee Reservation | Shares worth ₹2 crore |
A discount of ₹16 per equity share of face value ₹10 each is being offered to eligible employees bidding in the Employee Reservation Portion.
OFS / Selling Shareholders
The offer for sale (OFS) component comprises 35,00,000 shares aggregating up to ₹59.5 crore, which will accrue to the selling shareholders. Promoters currently hold 89.6% of the company, which will come down to 70.59% after listing.
Objects of the Issue (Fund Utilization)
The company intends to utilise the net proceeds from the fresh issue towards partial funding of capital expenditure for setting up a new manufacturing facility at Borisana, Kadi, Mehsana, Gujarat. IPO proceeds of ₹320 crore will be used to partly fund the new manufacturing facility in Mehsana, Gujarat, and for general corporate purposes.
- Partial funding of new manufacturing facility at Borisana, Kadi, Mehsana, Gujarat — ₹320 crore
- General corporate purposes — remaining proceeds
Lead Managers & Registrar
- Book Running Lead Managers: Systematix Corporate Services Limited, IDBI Capital Markets & Securities Limited, and Pantomath Capital Advisors Private Limited
- Registrar to the Issue: MUFG Intime India Pvt. Ltd.
Promoters & Management
The promoters of the company are Alpesh Tulsibhai Patel, Pravinkumar Ambalal Patel, and Rashminbhai Tulsibhai Patel.
Key Management:
- Chairman and Managing Director: Alpesh Tulsibhai Patel
- Whole-Time Director: Rashminbhai Tulsibhai Patel
- Whole-Time Director: Pravinkumar Ambalal Patel
- CFO: Dr. Ajay Kumar Dubey
The Gujarat-based company is promoted by the Patel family.
Company Details
Knack Packaging is one of the leading manufacturers of printed and laminated woven polypropylene (PLWPP) bags and PLWPP pinch bottom bags. It is an innovative packaging solutions provider that makes customised and high-strength PLWPP bags. Its products are useful to a wide range of industries, including food, pet food, agriculture, chemicals, fertilisers, building materials, and other industrial applications.
Sectors Served:
- Food Products & Pet Food
- Agriculture
- Chemicals & Fertilisers
- Construction & Building Materials
Key Capabilities:
- Integrated and digitized manufacturing process — emphasizing efficient operation through integration of manufacturing processes, providing scope for quality assurance and proper implementation.
- Ability to produce highly complicated packaging designs — technologically advanced and able to manufacture customized packages due to strong technological capacity.
- Customer-oriented packaging — able to provide customized packaging by interacting with customers directly.
- As of May 31, 2026, the company possessed 73,000+ printing cylinders developed for over 1,950+ customers and 13,379 SKUs, through which they serve as custodians of customers’ branding material, fostering long-term customer retention. The company maintains a 92,065.47 sq. ft warehouse dedicated to cylinder storage.
Customer Base:
The company serves leading Indian names like Baba Agro Food Limited, Drools Pet Food Private Limited, Ebro India Private Limited, KRBL Limited, and DCM Shriram Limited, along with global brands across 68 countries, including Cargill, Cristo S.A., and Repi Soap and Detergent PLC. Exports contribute a major share of operations, with the United States, Mexico, and South Africa accounting for 35.19% of total exports.
Manufacturing Facility:
The company operates an in-house printing facility offering end-to-end design and cylinder development services.
Market Position:
In Fiscal 2025, Knack Packaging Limited held around 10.1% share of the Indian flexible bulk PLWPP bag market.
Financial Snapshot
| Period | Revenue (₹ Cr) | PAT (₹ Cr) |
| FY25 | ₹747.38 | ₹73.81 |
| FY26 | ₹843.77 | ₹92.72 |
Key Financial Metrics
- Revenue increased by 13% and profit after tax (PAT) rose by 26% between the financial year ending March 31, 2026 and March 31, 2025.
- Over the past 3 years, the company’s PAT and PAT margin have been growing continuously.
- Implied valuation at upper price band: ~₹2,080 crore
- Knack Packaging IPO has a lower EPS than its peers.
Company Strengths
- Integrated and digitized manufacturing process, providing scope for quality assurance and proper implementation.
- Ability to produce highly complicated, customized packaging designs due to strong technological capacity.
- Customer-oriented packaging approach with direct customer interaction for customized solutions.
- Strong export footprint with presence across 71 countries and a diversified global client base.
- Leading domestic market share (~10.1%) in the flexible bulk PLWPP bag segment.
- Large cylinder library (73,000+) and long-standing client retention through branding custodianship.
- Consistent revenue and profit growth with healthy 3-year PAT margin trend.
Key Risks & Challenges
- Concentration risk related to suppliers — the organization relies on its major suppliers for sourcing raw materials, but lacks long-term contracts with them, creating a threat of disruption in the supply chain.
- Lower EPS compared to listed industry peers, which may affect relative valuation appeal.
- Heavy export dependence (35.19% of exports concentrated in the US, Mexico, and South Africa) exposes the company to currency and geopolitical risks.
- The IPO structure has been scaled down from the company’s earlier proposal in its Draft Red Herring Prospectus (DRHP); as per the DRHP filed with SEBI in September 2025, the company had earlier proposed a fresh issue of ₹475 crore and an offer for sale of 70 lakh shares.
- Significant promoter stake dilution post-listing (from 89.6% to 70.59%) — monitor for future promoter behavior.
- New manufacturing facility execution risk — timely commissioning of the Mehsana, Gujarat plant is critical to projected growth.
Disclaimer:
This document is for informational purposes only and should not be considered as investment advice. Investors should read the Red Herring Prospectus (RHP) carefully and consult a financial advisor before investing in any IPO. Market investments are subject to risk.
