General Atlantic to acquire 7 percent stake in Balaji Wafers at USD 4 billion valuation

Snack maker Balaji Wafers, which has drawn strong interest from investors and global food companies, is reportedly set to sell a 7% stake to US-based General Atlantic for INR 2,500 crore (USD 282 million). The transaction is expected to value the Gujarat-based packaged foods company at approximately INR 35,000 crore (USD 4 billion). 

Stake sale highlights strong global appetite for India's fast-growing packaged snacks sector

Chandu Virani, Founder and Managing Director at Balaji Wafers:

"It's a done deal from our side."

According to Virani, the stake sale is driven by the next generation of the Virani family, who aim to bring in strategic capital to scale the business. Earlier this month, ITC, PepsiCo, Temasek and TPG were among the companies exploring an investment in Balaji Wafers. The firm had previously considered divesting around 10% at an estimated valuation near INR 40,000 crore (USD 4.8 billion).

Balaji Wafers, known for its chips, noodles and confectionery products, maintains a strong presence across central and western India. Founded in 1981 by the Virani family, the company today offers more than 65 products and operates through a distribution network of over 1,225 dealers.

In FY24, the company posted INR 578.8 crore (USD 65 million) in profit, while revenues rose 11% year-on-year to INR 5,453.7 crore (USD 610 million).

Temasek's interest aligns with its strategy to expand in India's fast-growing food sector. The Singapore fund previously acquired a 10% stake in Haldiram's and invested USD 210 million in Rebel Foods, owner of brands such as Faasos, Oven Story and Behrouz Biryani.

PepsiCo's renewed interest marks its second attempt to partner with Balaji Wafers after a proposed deal fell through in 2013, when the promoters declined to give up majority control.