Tiger Global-backed Moglix to boost sustainable packaging biz with ₹80-crore buy

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Subscribe to enjoy similar stories. BENGALURU : Enterprise e-commerce unicorn Moglix has acquired Uttarakhand-based Khatema Fibres Ltd, a manufacturer of eco-friendly paper products, for approximately ₹80 crore, as part of its strategy to bolster its sustainable packaging portfolio and cement its leadership in the industrial procurement space. The deal, announced by Moglix founder and CEO Rahul Garg, adds a suite of specialty packaging products—including high-strength kraft paper, food-grade packaging solutions, and machine-glazed papers—to its offerings.

Read this | Young consumers spark rise of eco-friendly home, personal care products made by startups Backed by Tiger Global and Accel, Moglix, valued at $2.6 billion, aims to tap its expansive network of over 10,000 manufacturers and 3,000 factories to scale this category. Moglix launched its packaging business nearly five years ago and is among the largest in the business-to-business (B2B) e-commerce packaging space. “When we started our journey in packaging, we realized that the segment is fairly disorganized and many suppliers are still using old methods.

As our company grows, we cannot only focus on e-commerce and supply chain, but also work with manufacturers to understand how innovation in packaging materials can be improved," Garg told Mint. Khatema Fibres, founded in 1990, operates a paper manufacturing plant in Uttarakhand's Khatima region. While the plant's current capacity is 50,000 tonnes, it has the potential to expand to 75,000 tonnes—a goal Moglix is actively pursuing, according to Garg.