GSM Foils is a manufacturer of the aluminium foil that wraps your tablets and capsules - the thin, high-barrier layer that keeps medicines safe from moisture, oxygen and light. Founded in 2019 in Vasai, Maharashtra, and listed on the NSE Emerge platform in May 2024, the company has grown from a single-unit operation into a multi-facility supplier to over 90 pharmaceutical clients across India and export markets. Its recurring approach is to compete in a commodity-like industry not through proprietary technology, but through speed, working-capital management and a relentless push to get closer to the raw material - a logic that now drives its expansion from foil conversion into rolling, laminates and caps. # Business segments A single-engine business built around aluminium foil conversion for pharma packaging, now extending into adjacent products that use the same raw material, machinery and customer relationships. ## 1. Blister and strip foil: the core packaging engine **The company takes aluminium rolls from mills, coats and prints them into the primary packaging that protects pharmaceutical tablets and capsules, selling to drug makers on a per-unit basis with no long-term contracts.** - **Protection is the product** - the foil blocks moisture, oxygen, light and germs, which is why it is used for everything from standard paracetamol push-through packs to high-barrier Alu-Alu formats for moisture-sensitive drugs. The range spans 20 to 40 microns, with strip foil (30-40 microns) offering greater strength than blister foils, where 30-micron is for standard protection and 40-micron is for moisture-sensitive, high-value pharmaceuticals needing extended shelf life. - **Priced off Hindalco's monthly letter** - there are no fixed-price, long-term contracts with customers; rates are reset every month based on the aluminium price published by Hindalco, the dominant raw-material supplier, so the business is effectively a pass-through converter whose margin depends on operational efficiency rather than metal-price speculation. - **Volume and credit win the order** - the product is a commodity where differentiation is hard, so the competitive edge comes from being able to offer more credit to pharmaceutical clients and from driving cost effectiveness through higher volumes. The client base grew from over 72 to over 90 between Q2 and Q3 FY26, with a presence across more than 14 Indian states and a concentration in the pharma hubs of Dadra & Nagar Haveli, Gujarat and Maharashtra. - **A three-tier industry with a crowded middle** - Tier 1 is the rolling mills like Hindalco, MMP, and PG Foil that turn aluminium sheets into foil; GSM Foils sits in Tier 2 and Tier 3, converting and printing that foil, competing against many small, unorganised suppliers as well as listed players that operate across all three tiers. A five-year anti-dumping duty on Chinese foil imports provides some protection, though cheap imports remain a threat. - **Certifications as a ticket to regulated markets** - the company holds ISO 9001:2015, CGMP, BIS and food-grade declarations, which are essential for supplying pharmaceutical companies that export generics to the US and Europe, markets where India supplies roughly 20% of the world's generics by volume. ## 2. ROPP caps: a new line on the same aluminium backbone **In June 2026 the company began manufacturing aluminium Roll-On Pilfer-Proof caps for syrup and beverage bottles, using leased plant and machinery - a move that extends its aluminium conversion skills into a neighbouring packaging category.** - **Same metal, different bottle** - ROPP caps are aluminium closures used on pharmaceutical syrup bottles and in the alcohol and beverage industry, so the raw material and basic conversion logic are familiar even though the end product is new. - **Bought, not built** - rather than constructing a greenfield plant, GSM Foils entered into a Memorandum of Understanding with AAPL Solutions to lease both the property and the existing plant and machinery, with production starting immediately in June 2026. This is the company's third manufacturing facility and its second in the Mumbai region. - **A meaningful bolt-on at scale** - at peak capacity utilisation, the ROPP caps facility has the potential to generate Rs. 50 crore in annual revenue, making it a material addition to a business whose new Ahmedabad foil plant targets a monthly run-rate of roughly Rs. 30-35 crore at optimal utilisation. # Manufacturing footprint **Two foil-conversion plants and a caps facility give the company a combined foil capacity of over 15,000 metric tons per annum, with room to grow utilisation.** - **Ahmedabad: the expansion lever** - a leased 17,000-square-foot facility in Sanand, Gujarat, began trial runs in December 2025 with a capacity of over 10,000 metric tons per annum and a total capex of roughly Rs. 5-6 crore. By April 2026 it was running at 25-30% utilisation, leaving significant headroom to serve western and northern Indian clients with a slightly better margin profile than Vasai due to lower overheads. - **ROPP caps: the third site** - the leased Mumbai-region facility for aluminium caps commenced production in June 2026, adding a new product category without the lead time or capital outlay of a self-built plant. # Group structure and partners **A tightly held, single-entity public company with no subsidiaries - the two founders who started the business in 2019 still control it.** - The company was originally formed as GSM Foils LLP in 2019, converted to a private limited company in June 2023, and then to a public limited company in September 2023, listing on the NSE Emerge platform in May 2024 after an IPO of 34.4 lakh shares at Rs. 32 each. - Chairman and CFO Sagar Girish Bhanushali and Managing Director Mohansingh Laxmansingh Parmar have been with the business since inception and together hold the majority of the equity - roughly 44.7 lakh and 49.0 lakh shares respectively as of March 2025. - There are no subsidiaries, associates or joint ventures; the company operates in a single business segment and banks with Bank of India for its working-capital and term-loan needs.