Three Suitors Place Binding Bids for Haldiram; Alpha Wave Offers Over $1 Billion for Minority Stake

In one of India’s largest private equity deals to date, Alpha Wave Global has submitted a binding bid exceeding $1 billion for a minority stake in Haldiram Snacks Food, joining competing offers from consortiums led by Blackstone and Bain Capital. The bids value the snack giant at ₹75,000-₹80,000 crore ($8.8-$9.4 billion).

The Agarwal family, which founded Haldiram, is contemplating the sale of a 15-20% stake after previous discussions about selling a majority share. The transaction has attracted significant interest, with Blackstone’s group including GIC and Abu Dhabi Investment Authority (ADIA), while Bain Capital has partnered with Temasek.

This potential deal follows years of negotiations with private equity firms, including General Atlantic and TA Associates, as well as consumer goods giants Kellogg’s and PepsiCo, who ultimately withdrew due to valuation disagreements. More recently, Tata Consumer Products walked away from a proposed deal, citing Haldiram’s steep $10 billion price tag.

The ongoing bids are part of the Agarwal family’s broader strategy to modernize the 87-year-old business. The Delhi and Nagpur branches of Haldiram are merging, approved by the Competition Commission of India (CCI) earlier this year. Post-merger, the Delhi faction will hold a 56% stake, while the Nagpur faction will own the remainder.

Alpha Wave Global’s entry into this deal is notable, as the investment firm, affiliated with Tiger Global Management, primarily focuses on Indian consumer tech startups. However, it has recently diversified into traditional sectors, such as beauty and wellness brand VLCC.

The final transaction size could range between ₹11,250 crore ($1.3 billion) and ₹18,750 crore ($2.2 billion), depending on the stake sold. Industry insiders suggest that private equity firms are seeking substantial management rights or board influence, rather than passive investments. The deal may also pave the way for a potential IPO within the next 12-24 months.

In FY24, Haldiram’s combined revenue from its Delhi and Nagpur branches reached ₹12,800 crore, with an EBITDA of ₹2,580 crore and profits of around ₹1,350 crore. The company holds a 13% market share in India’s ₹51,500 crore ($6.2 billion) savoury snacks market, according to Euromonitor International.

Despite its market leadership, Haldiram faces growing competition from the healthy snacking segment. A recent NielsenIQ report noted that 63% of Indian consumers prefer healthier snacks, driving growth in categories like fortified biscuits and Greek yoghurt.

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