Synopsis: Knack Packaging Limited’s ₹439.50 crore IPO opens on July 1, 2026. The company plans to use the proceeds to set up a new manufacturing facility and support general corporate purposes, backed by its strong packaging business and improving financial performance.
Knack Packagings Limited is launching its Initial Public Offering (IPO) to raise funds for capital expenditure and general corporate purposes. The IPO size aggregates up to Rs. 439.50 crore, comprising a fresh issue of 2.24 crore equity shares totalling Rs. 380 crore and an offer for sale of 0.35 crore shares worth Rs 59.50 crore.
Knack Packagings Limited’s IPO price band is set at Rs. 161-170 per share. The IPO opens for subscription on July 01, 2026, and closes on July 03, 2026. The shares will be listed on the NSE and BSE on Wednesday, July 08, 2026. Here’s everything you need to know.
GMP of Knack Packagings Limited IPO
As of July 1st, 2026, the shares of Knack Packagings Limited in the grey market were trading at a 15.29 percent premium. The shares in the Grey Market traded at Rs. 196. This gives it a premium of Rs. 26 per share over the cap price of Rs. 170.
Overview of Knack Packagings Limited
Knack Packaging Limited was incorporated in 2013 and manufactures polypropylene woven packaging products. The company provides complete packaging solutions for customers across India and international markets. It focuses on innovation, quality, and sustainable manufacturing to meet the growing demand for industrial packaging.
The company manufactures printed and laminated woven polypropylene bags, including pinch bottom, block bottom, gusset, and shopping bags. These products serve industries such as food, agriculture, fertilizers, pet food, chemicals, cement, detergents, and building materials. In FY2025, the company held around 10.1 percent of India’s flexible bulk PLWPP bag market.
Knack Packaging supplies products to leading Indian companies, including Baba Agro Food, Drools Pet Food, KRBL, DCM Shriram, and Ebro India. It also exports its products to 68 countries, serving global customers such as Cargill, Cristo S.A., and Repi Soap and Detergent PLC. The United States, Mexico, and South Africa contribute a significant share of their export revenue.
The company operates an in-house printing facility that offers complete design and cylinder development services. As of May 31, 2026, it had developed more than 73,000 printing cylinders, managed over 13,000 SKUs, and served 1,950 customers worldwide. As of FY2026, the company employed 1,834 people, including contractual workers.
Promoters of Knack Packaging Limited
The promoters are Alpesh Tulsibhai Patel, Pravinkumar Ambalal Patel, and Rashminbhai Tulsibhai Patel. They have played a key role in expanding the company’s manufacturing capabilities and export business.
Knack Packaging Limited Selling Shareholders
The IPO includes an offer for sale by promoter selling shareholders Alpesh Tulsibhai Patel, Pravinkumar Ambalal Patel, and Rashminbhai Tulsibhai Patel, along with the promoter group and other selling shareholders. Alpesh Tulsibhai Patel is selling up to 6.76 lakh shares, Pravinkumar Ambalal Patel is selling up to 3 lakh shares, and Rashminbhai Tulsibhai Patel is selling up to 6.76 lakh shares.
Additionally, Tulsibhai Keshavlal Patel will sell up to 3.62 lakh shares, Patel Kamlesh Ambalal will sell up to 3.08 lakh shares, Dharmisthaben Pravinbhai Patel will sell up to 1.25 lakh shares, Shital Alpesh Patel and Divyaben Rashminkumar Patel will each sell up to 2.98 lakh shares, Patel Jay Pravinkumar will sell up to 1.70 lakh shares, and Shitalben Kamlesh Patel will sell up to 2.88 lakh shares.
Lead Managers of Knack Packaging Limited IPO
Systematix Corporate Services Limited, IDBI Capital Markets & Securities Limited, and Pantomath Capital Advisors Private Limited are the book-running lead managers. MUFG Intime India Private Limited serves as the registrar to the issue.
Objectives of the IPO Offer
Knack Packaging Limited proposes to utilize the net proceeds from the IPO for specific business expansion initiatives. The company will allocate Rs. 320 crore towards the partial funding of capital expenditure for setting up a new manufacturing facility at Borisana, Kadi, Mehsana, Gujarat. The new facility is expected to enhance the company’s manufacturing capacity, improve operational efficiency, and support its long-term growth strategy.
The remaining proceeds will be utilized for general corporate purposes. These funds will support the company’s operational requirements, business expansion plans, and other corporate initiatives aimed at strengthening its overall business operations.
Financial Analysis of Knack Packaging
Coming into financial highlights, Knack Packaging Limited’s consolidated revenue from operations has increased from Rs. 736.49 crore in FY25 to Rs. 823.43 crore in FY26, which represents a growth of 11.80 percent. The company’s net profit has also grown by 25.62 percent from Rs. 73.81 crore in FY24 to Rs. 92.72 crore in FY25.
Knack Packaging Limited has a PAT Margin of 10.99 percent and an EBITDA Margin of 20.42 percent. Further, Knack Packaging Limited’s revenue and net profit have grown at a CAGR of 12.16 percent and 42.01 percent, respectively, over the last two years.
In terms of return ratios, the company’s ROE and ROCE stand at 35.75 percent and 46.71 percent, respectively. Knack Packaging Limited has an earnings per share (EPS) of Rs. 9.27, and its debt-to-equity ratio is 0.62x.
Knack Packaging Limited vs Peers
Knack Packaging Limited reported revenue from operations of Rs. 823.43 crore in FY2026. The company reported an EPS of Rs. 9.27 and a RoNW of 35.47 percent. In comparison, Mold-Tek Packaging Limited reported revenue of Rs. 886.61 crore with an EPS of Rs. 21.93 and a RoNW of 10.98 percent. TCPL Packaging Limited reported revenue of Rs. 1,810.22 crore with an EPS of Rs. 107.47 and a RoNW of 14.34 percent. Time Technoplast Limited reported revenue of Rs. 6,105.20 crore with an EPS of Rs. 9.99 and a RoNW of 13.37 percent.
Knack Packaging Limited’s net asset value per share stands at Rs. 30.82. In comparison, Mold-Tek Packaging Limited reported Rs. 207.57, TCPL Packaging Limited reported Rs. 791.28, and Time Technoplast Limited reported Rs. 84.40.
Strengths of Knack Packaging Limited
- Strong manufacturing capabilities support large-scale production across multiple packaging product categories.
- Diversified customer base reduces dependence on a single industry or customer segment.
- Healthy export presence strengthens revenue diversification across international packaging markets.
- Advanced manufacturing technology improves product quality and operational efficiency consistently.
- Sustainable packaging initiatives support long-term environmental compliance and customer preferences.
Weaknesses of Knack Packaging Limited
- Business depends heavily on polypropylene and polymer raw material price fluctuations.
- Intense competition may pressure margins across domestic and international packaging markets.
- Manufacturing operations require continuous capital expenditure for future expansion projects.
- Export revenue remains exposed to foreign exchange rate volatility risks.
- Economic slowdowns may reduce industrial packaging demand across several end-user industries.
Conclusion
Knack Packaging Limited operates in India’s growing industrial packaging sector with strong manufacturing capabilities. The company plans to expand production through a new manufacturing facility. Its improving financial performance supports long-term growth potential. Investors should evaluate the company’s financials, valuation, risks, and industry outlook before subscribing to the IPO.
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
