Introduction:
Leading paper company has announced a Composite Scheme of Arrangement to merge three subsidiaries, streamlining its packaging operations. Additionally, the company will acquire a 60% stake in Radhesham Wellpack Pvt. Ltd., with plans for full acquisition in two years.
Share price movement of JK Paper:
On December 16, 2024, JK Paper Ltd. opened at ₹464.15, up 2.00% from its previous close of ₹455.05. The stock reached a high of ₹482.50 (3.9%) and a low of ₹459.40. By 12:04 PM, it traded at ₹472.75, a 3.89% increase, with a market cap of ₹7,999.18 crore.
JK Paper announces consolidation, acquisition:
JK Paper Ltd. (JKPL) has unveiled a Composite Scheme of Arrangement to consolidate its business operations by merging three wholly owned subsidiaries—Horizon Packs Pvt. Ltd., Securipax Packaging Pvt. Ltd., and JKPL Utility Packaging Solutions Pvt. Ltd.—with JKPL.
The consolidation will streamline JK Paper’s packaging operations, making the company a stronger competitor in the expanding packaging market. The scheme is subject to approval from the Stock Exchanges, SEBI, NCLT, and other authorities, with completion expected within 12 months.
In a separate move, JK Paper also announced the acquisition of a majority 60% stake in Radhesham Wellpack Pvt. Ltd. (RWPL), a company involved in the manufacture of corrugated packaging products. The remaining 40% will be acquired within two years.
Recent news on JK Paper:
As of November 04, 2024, JK Paper Ltd. reported a 57.84% decline in Q2 net profit, dropping to ₹128.85 crore from ₹305.68 crore a year ago, impacted by higher expenses. Total income rose marginally to ₹1,714.88 crore.
Stock performance of JK Paper for Period of 1 week, 6 months, and 1 year:
Over the past week, JK Paper’s stock has declined by 6.19%. However, over the last 6 months, it has fallen by 8.18%. Despite recent dips, the stock has shown a strong 17.8% increase over the past year.
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Shareholding pattern of JK Paper:
| All values in % | Sep 2024 | Jun 2024 | Mar 2024 |
| Promoter | 49.60% | 49.60% | 49.60% |
| FII | 11.40% | 12.10% | 9.30% |
| DII | 5.80% | 5.70% | 3.70% |
| Public | 33% | 32.60% | 37.40% |
About JK Paper:
JK Paper Ltd. (NSE: JKPAPER) is a market leader in branded copier paper and a top producer of coated paper and packaging boards in India. The company specializes in value-added products and is wood and carbon positive.
Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.
