Three M Paper Boards, a leading manufacturer of recycled paper-based products, plans to expand capacity by 25 per cent to meet the growing demand of its products from domestic and international markets.
The company currently has an installed capacity of 72,000 tonnes per annum.
“We are planning to increase capacity by 25 per cent in the next two years using internal accruals. The company is also open to setting up a new plant at a different location closer to the consuming industry,” said Rushabh H Shah, Managing Director, Three M Paper Boards.
Recent IPO
The Mumbai-based company manufactures recycled paper-based coated duplex board products for the last 30 years and recently raised ₹40 crore through public issue. The IPO was subscribed over 171 times and got listed at 10 per cent premium to the issue price.
The company plans to use ₹14 crore for capex and expand its factory building to increase storage capacity. It has allocated ₹10 crore for working capital and ₹7 crore for debt repayment. The remaining fund will be used for general corporate purposes.
The company’s duplex board products ranging from 200 to 500 GSM are used in various packaging applications across industries such as food and beverage, pharmaceuticals, cosmetics, and consumer goods and suppliesin both the domestic and international markets.
The coated duplex boards produced by the company are made from 100 per cent recycled wastepaper and are fully biodegradable, making them an eco-friendly choice for packaging various FMCG and pharmaceutical goods, said Shah.
The company’s manufacturing facility at Chiplun in Maharashtra is spread over 30 acres and has a 4-MW captive power plant.
With a vast network of over 25 dealers nationwide and export operations in over 15 countries, Three M Paper Boards maintains a broad market-reach and a strong industry presence.