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Asian private equity firm ADV Partners and Premji Invest have announced to acquire a majority stake in Bengaluru based plastic molding company Micro Plastics Private Limited (MPPL).
“The 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 statement said.
“The investment also builds on MPPL’s success and robust revenue growth of over 20% over the past five years in CAGR terms,” Company added.
Speaking on the investment, Mr. Suresh Prabhala, co-founder and managing partner at ADV Partners, said, “The market opportunities for Micro Plastics are significant and, together with Premji Invest, ADV Partners looks forward to working with Mr. Babu to significantly grow the business as well as to help build the toy manufacturing ecosystem within India, through skill development and other initiatives.”
“ADV Partners’ investment in Micro Plastics is a continuation of our efforts to back Indian entrepreneurs who have established market leadership in specific manufacturing segments in India while contributing to the Indian government’s long-term ‘Atmanirbhar’ (self-reliance) vision,” Prabhala added.
Commenting on the acquisition in MPPL, Premji Invest spokesperson said, “Premji Invest is excited to partner with ADV Partners and the MPPL team to build out a globally competitive business of manufacturing toys and plastic components for other industries.”
“Under the leadership of Mr. Babu, MPPL has scaled to become the largest toy manufacturer in India over the past few years. With the government’s push towards local manufacturing, and global customers increasing their outsourcing to India, we intend to further develop MPPL as a trusted partner in delivering quality products consistent with the highest standards of ethics and governance,” Spokesperson added.
MPPL offers an integrated one-stop solution for its customers, from designing to shipping final products for diverse industries ranging from toys and model hobby kits to sports equipment.
Speaking on the deal, Babu Vijendra, Founder & Managing Director of MPPL, said, “We are very excited to bring ADV and Premji Invest onboard as our investors to chart MPPL’s next phase of growth. 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.”