Singapore's sovereign investment firm, Temasek, has made a significant move in India's fast-moving consumer goods (FMCG) sector by acquiring a 10% stake in Haldiram Snacks Food. This deal, valued at an impressive $10 billion (approximately ₹85,000 crore), marks one of the largest investments in India's packaged food industry.
A Landmark Deal
The agreement, signed after months of negotiations, highlights the growing international interest in India's consumer market. Temasek emerged as the highest bidder for the minority stake, surpassing other private equity firms like Blackstone and Alpha Wave Global. This investment underscores Haldiram's position as a leading player in the snack and sweets industry, with a revenue of over ₹12,500 crore in FY24.
Expansion Plans
The cash infusion from Temasek is expected to fuel Haldiram's expansion plans, both domestically and internationally. The company, which operates in over 80 countries, aims to strengthen its presence in foreign markets while continuing to dominate the Indian snack segment. The merger of the Delhi and Nagpur branches of Haldiram, approved by the National Company Law Tribunal, further streamlines operations and sets the stage for future growth.
Future Prospects
The Agarwal family, promoters of Haldiram Snacks Food, is reportedly considering additional stake sales to other investors and exploring the possibility of an initial public offering (IPO) next year. This move could further capitalize on India's buoyant stock market and attract more foreign investment.
Temasek's investment in Haldiram not only reflects the strength of India's FMCG sector but also signals a bright future for the country's packaged food industry. With a strong consumer base and increasing global interest, Haldiram is poised to scale new heights in the years to come.