Pakistan's IPAK expands into Europe with new Portugal subsidiary

International Packaging Films Limited (IPAK) announced to set up a new subsidiary in Portugal on Friday through IPAK Connect Packaging Materials Trading FZCO (IPAK Connect), its wholly owned subsidiary in Dubai, United Arab Emirates.

IPAK informed the Pakistan Stock Exchange in a notice today.

The company added that IPAK Connect resolved to incorporate a wholly owned subsidiary in Portugal, subject to obtaining all necessary legal, regulatory, and corporate approvals.

“Once incorporated, the Portuguese entity will be fully owned by IPAK Connect, thereby becoming an indirect wholly owned subsidiary of the Company within the IPAK Group,” the notice said.

This expansion marks a key milestone in IPAK Group’s international growth strategy.

“By establishing a subsidiary in Portugal, the Group strengthens its position within the European Union and brings operations closer to existing and prospective customers across the region,” read a statement.

It added that the Portuguese entity will serve as a dedicated hub for IPAK Group’s European activities, supporting closer collaboration with customers, converters, distributors, and other industry partners.

“This local presence will enable faster commercial coordination and more direct engagement on product development, order planning, and after-sales support,” the company said.

The market believes that being on the ground will also sharpen its market intelligence, deepen its understanding of evolving packaging technologies, sustainability requirements, regulatory changes, and customer preferences, and ensuring its products and commercial strategy stay aligned with the European market.

“The establishment of the Portuguese subsidiary reflects IPAK Group’s broader ambition to build an internationally connected packaging films business, supported by strong manufacturing capabilities in Pakistan and an expanding commercial presence in key overseas markets,” said the company.

The initiative remains subject to obtaining all applicable legal, regulatory and corporate approvals.

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IPAK was established in Pakistan as a Greenfield project in 2015 to manufacture Biaxially Oriented Polypropylene (BOPP) films.

Initially, the company was incorporated as a private limited company in 2015 and was later converted into a public limited company in 2021.

The company is engaged in the manufacturing and sale of BOPP, CPP and BOPET films for both domestic and international markets.