Three firms in race to pick minority stake in Haldiram Snacks Food

Three firms are now in the race to acquire a minority stake of around 15 to 20% in Haldiram Snacks Food, India's largest packed snack and sweets company and restaurant operator, according to industry sources.

Blackstone and Bain Capital-led consortiums were already in the race to pick up a stake, however, with the entry of Alpha Wave Global, it has now become a triangular contest.

Alpha Wave Global has recently submitted a binding offer to acquire a minority stake in Haldiram Snacks Food, steeping up the competition, they said.

Alpha Wave Global has reportedly made a binding offer exceeding $1 billion to acquire a minority stake in Haldiram Snacks Food.

The Agarwal family, the promoters of the company, is expected to take a decision and finalise the deal by early January next year, the sources added.

Earlier the promoters were intending to divest a larger portion. However, now they have decided to offload only a minority stake by going up with one of these firms.

This cash infusion will help Haldiram fund its expansion plans and expedite its journey in the domestic as well as some of the foreign markets, where it has a presence.

Later the promoters of Haldiram Snacks Food may consider an IPO of the company to realise its full potential.

The other two groups include a consortium led by Blackstone along with Singapore's GIC and the Abu Dhabi Investment Authority (ADIA), and Bain Capital in partnership with Temasek.

Haldiram Snacks Food is the combined business of two fractions of the Haldiram family, Delhi and Nagpur.

The National Company Law Tribunal had approved the process of merger of the two fractions, while other regulatory approvals are awaited.

Established in 1937 as a retail sweets and namkeen shop in Bikaner, Rajasthan by Ganga Bhishen Agarwal, Haldiram sells products in over 80 countries.

In 2022, it was announced that the packaged snacks businesses of Delhi-based Haldiram Snacks and Nagpur-based Haldiram Foods International would be first demerged and then merged into an entity named Haldiram Snacks Food.