At 87 years old, Haldiram stands as India’s largest snack and ready-to-eat food company.
Expanding
According to a report in ET, Blackstone and its partners are keen to acquire a 74-76% stake in the company, valuing the business at $8-8.5 billion (Rs 66.4-70.5 billion). . ADIA and GIC are both partners or sponsors of Blackstone’s Global Fund Limited. If the deal goes through, it would be India’s largest private equity acquisition to date.
When asked for comment, Haldiram CEO KK Chutani told ET, “The company does not comment.”
In May last year, Nakatani, who was previously CEO of Dabur International, was brought in as Haldiram’s CEO, marking the first time an expert was at the helm.
About Haldiram
Completion of the deal depends on the success of the ongoing merger between the Nagpur and Delhi factions as part of a plan approved by the National Company Law Tribunal (NCLT). The merger is expected to close within the next three to four months.
The Haldiram family has undergone a major reorganization, with the Nagpur and Delhi factions splitting their fast-moving consumer goods (FMCG) and restaurant businesses into separate entities.
The newly formed Haldiram Snack Foods Ltd. (HSFPL) is a result of the merger of Haldiram Foods International Ltd. (HFIPL), led by the Nagpur family, and Haldiram Snacks Ltd. (HSPL), led by the Delhi family.
The Delhi side, represented by Manohar Agarwal and Madhu Sudan Agarwal, holds 55% of HSFPL shares, while the Nagpur faction, led by Kamalkumar Shivkisan Agrawal, holds the remaining 45%. The Eastern faction of the Haldiram Empire was not involved in this merger.
Haldiram’s snack food business includes manufacturing and distributing a wide range of products, including snacks, namkeens, sweets, ready-to-eat and premixed foods, cookies, non-carbonated ready-to-drink beverages, and pasta. The company has a global presence, with operations in 100 countries through franchisees in the UK, US and Japan.
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Haldiram’s has expanded its portfolio by introducing sub-brands such as Minute Khana, Cup Shup, Cookie Heaven and recently entered the chocolate market with the Cocobay brand. The company is also focusing on expanding its presence in retail supermarkets and quick commerce platforms, aiming to compete with established players such as cookies Britannia and chocolates Mondelez and Amour. Additionally, Haldirams has acquired smaller brands such as Babaji Namkeen, Akash Namkeen and Atop Foods.
The restaurant business, worth Rs 1,800 crore, is not included in the merger deal.
Haldiram’s has a rich history, dating back to 1937 when Ganga Bishan Agarwal started the business as a family-run sweets and namkeen shop in Bikaner, Rajasthan. While Haldirams is a leading player in the snacks market, it also competes with other companies such as PepsiCo’s Lay’s & Kurkure, Balaji Snacks, Pratap Snacks’ Yellow Diamond, Bikanevala, recently listed Bikaji Foods and ITC Foods Bingo Franchise. Facing competition from other prominent brands.