Tata Group’s Company Tata Consumer is in talks to buy a substantial 51% stake in the country’s beloved snack food giant ‘Haldiram’ in a proposed deal that could reshape India’s snack food industry.
However, Tata is trying to negotiate Haldram’s proposed $10 billion valuation, as per media sources. According to reports, Haldiram is in talks with private equity firms, including India’s leading Bain Capital, to sell a 10% stake.
If the talks go through successfully, it will put the Indian conglomerate in direct competition in the Indian consumer market against global giants such as Pepsi and billionaire Mukesh Ambani’s Reliance Retail.
Tata Consumer Products, the conglomerate arm responsible for a portfolio that includes UK-based tea company Tetley and its growing partnership with Starbucks in India, is in active talks to buy its desired stake.
This is not the first time Companies have shown their interest in the family-run business.
In 2019, US-based Kellogg expressed interest in buying a stake in Haldiram and expanding beyond the cereal category. But the talks did not materialize.
There are also reports that private equity firm General Atlantic is looking to buy a 10% stake in the Indian food brand.
Haldram traces its roots to a humble shop established in 1937, known for its delicious “Bhujia” snack, available in mom-and-pop shops across India for less than 10 rupees.
Notably, Haldiram snacks are also sold in overseas markets like Singapore and the US.
