Packaging Multinational's Bold Expansion: New Facility in Azerbaijan
The new entity will cater to the domestic market in Azerbaijan and expand its reach to the adjoining CIS and European countries.
Uflex Ltd, a leading Indian multinational in flexible packaging, has announced the incorporation of a new step-down subsidiary, FLEX FILMS AZB AFEZCO, in Azerbaijan. This strategic move, executed through its wholly owned subsidiary, Flex Middle East, FZE, Dubai, aims to establish a facility for manufacturing Biaxially Oriented Polypropylene (BOPP) Packaging Film. The new entity will cater to the domestic market in Azerbaijan and expand its reach to the adjoining CIS and European countries.
The step-down subsidiary is a related party to Uflex and its other subsidiaries, with the share capital fully subscribed in cash. This expansion aligns with Uflex's strategic priorities to enhance its global footprint and cater to a broader clientele, leveraging its expertise in packaging films. The newly incorporated company marks another milestone in Uflex's growth trajectory, reinforcing its position as a global leader in the packaging industry.
As of 19 March 2025, the stock price of Uflex Ltd traded at an intraday high of Rs 482.80 per share and an intraday low of Rs 474.85 per share. The stock is trading near its 52-week low, with a 52-week high of Rs 859.90 per share and a low of Rs 380.05 per share.
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Uflex Ltd is a prominent Indian multinational company specializing in the manufacturing and sale of flexible packaging products. As one of India's largest and a leading global manufacturer, Uflex offers a comprehensive range of packaging solutions, including BOPET, BOPP, and CPP films, among others. The company operates through two primary segments: Packaging Films and Value-Added Products, with the former contributing 62 per cent to its business. Uflex boasts a diverse clientele, including major brands like Nestle, Coca-Cola, and P&G, and serves over 150 countries worldwide.
With 16 manufacturing facilities across five continents, Uflex has a robust production capacity and is committed to innovation, as evidenced by its launch of 12 new products in Q1 FY25. Despite challenges such as forex losses and a significant income tax demand, Uflex continues to focus on expanding its global footprint and enhancing its manufacturing capabilities, with strategic capex investments planned for the near future. Uflex Ltd has a market capitalization of over Rs 3,400 crore. The stock has delivered a 1-year return of 15 per cent, although its 3-year return stands at negative 15 per cent.
Disclaimer: The article is for informational purposes only and not investment advice.