Nagpur
The news of a major agreement has been revealed by Singapore’s government investment company Temasek with Haldiram’s (Haldiram’s), India’s famous Namkeen and Snacks Brand. It is being told that Temasek has signed an agreement to buy about 9 per cent stake in Haldiram’s snack business for Rs 8,000 crore. After this deal, Haldiram’s total valuation has been estimated at around Rs 90,000 crore.
This agreement has been reached after long discussion and several months of conversation. Temasek has considered Haldiram a “valuable property”, which will focus on the consumer sector of India. Earlier, private equity firm Blackstone refused to invest in Haldiram, as he was concerned about the evaluation of the company.
According to Moneycontrol report, Haldiram Snacks are also considering selling more than 9 per cent stake to other investors. According to earlier reports, Haldiram can sell up to 20 percent stake in his company.
Haldiram, established in Bikaner, Rajasthan in 1937, is a big name in the snack market of India today. According to Euromonitor International, Haldiram holds about 13 per cent stake in India’s $ 6.2 billion snack market. Its most famous product is “Bhujia”, which is a crispy salty made of flour, herbs and spices. It is available at small shops for just 10 rupees.
Where has Tamasake invested earlier
Temasek has earlier invested in companies such as Manipal Hospitals and Devyani International (KFC and Pizza Hat Operator) in India. Temasake is now betting on India’s packaged snack industry by purchasing a stake in Haldiram.
Haldiram Group has recently divided its FMCG business. Under this, Haldiram Snacks Private Limited (HSPL or Haldiram Delhi Group) and Haldiram Foods International Private Limited (HFIPL or Haldiram Nagpur Group) have been included in a new company Haldiram Snacks Foods Private Limited (HSFPL). In this, the current shareholders of HSPL and HFIPL will get 56 percent and 44 percent stake respectively.
According to a report by Crisil Ratings, the product portfolio of Haldiram Group is quite diverse, including snacks, salty, sweets, ready-to-eat/pre-mix food, frozen food, biscuits, non-carbonated drinks, pasta, etc. The group has widespread impact in India and exports to many countries including the US and Europe.
