EPACK Durable raises $40 million in funding round led by Affirma Capital

• ByStartupStory     |    September 15, 2022

EPACK Durable Private Limited (EDPL) announced a USD 40 million funding sponsored by Affirmative Capital today. The firm, also, received USD 24 million from ICICI Venture in its first funding round last year.

EDPL’s installed capacity presently exceeds 2,4 million RAC and 2 million SHA units, and the addition of new equity capital will enable EDPL to drive additional capacity development and concentrate on backward integration for numerous components. The firm plans to boost its RAC capacity to 3.6 million units per year by the end of the next year to meet the rising demand for RACs in India as well as the demands of export markets.

EDPL is one of India’s biggest ODMs for RACs. The firm produces a comprehensive selection of room air conditioners, including Window ACs and Split ACs with cutting-edge technologies, such as fixed speed and inverters. Additionally, the firm produces SHAs, like as induction cooktops, mixer grinders, and water dispensers. The firm provides its goods to major Indian and multinational corporations. EDPL seeks to contribute to the Government of India’s Atma Nirbhar Bharat and Make in India initiatives via the addition of additional capacity at current and new sites and the localization of components. EDPL is now constructing a greenfield manufacturing plant in Sri City, Andhra Pradesh, which is expected to be operational next year. The business has also declared its intention to commission the brownfield expansion of its Bhiwadi, Rajasthan plant before the end of the current fiscal year.

Ajay Singhania, MD & CEO of EDPL, said, “We are very happy with the formidable presence we have built in the RAC and SHA ODM space. We are very excited to strengthen our relationship with existing and new customers and serve them with a wider range of products. We are very glad to partner with Affirma Capital, which brings onboard significant capabilities to help us build a much stronger business.”

BL Bothra, Chairman of EDPL, also commented on this acquisition of capital, saying, “RAC penetration in India is among the lowest in the world at 7-8% of households. Over the last two decades, EDPL has been building manufacturing capabilities to manufacture Room Air Conditioners and Small Home Appliances. We have built strong business relationships with all key brands. The new funding from Affirma Capital will help us deepen our manufacturing and R&D capabilities and gain more market share over the next 4-5 years.”

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