Blackstone (New York, New York / USA; www.blackstone.com) has entered into a definitive agreement with Ashok Goel Trust for a majority buy into laminate tubes manufacturer Essel Propack (Mumbai, Maharashtra / India; www.esselpropack.com), with the purchase price consideration between USD 310m to USD 462m. The transaction is expected to complete in the coming months, subject to closing conditions and approvals.

Blackstone is looking at acquiring 51% of shares from Ashok Goel Trust. As a requirement of the takeover code in India, Blackstone will make a public announcement to the stock exchanges for an open offer to purchase an additional 26% shares of the Mumbai-based company. Essel founder and long-time managing director Ashok Goel will be retaining a minority stake.

Essel Propack is considered the world leader in laminate tubes. Founded in 1982, the company currently employs 3,158 people, operates 20 production sites in 10 countries and manufactures more than 7 bn tubes per year. In fiscal 2018, it generated sales of around USD 380m.

Ashok Goel sees Blackstone transaction as the "next trajectory of growth" for the Indian company. Blackstone is one of the largest private equity firms in the world with over USD 512 bn in assets under management.