Haldiram's sells 10% stake to Temasek, valuing the company at $10 billion. Funds will be used for expansion plans.
Haldirams: Haldiram's, the Indian multinational snacks and confectionery manufacturer, has entered into a significant agreement with Temasek, a leading global investment firm based in Singapore. Under this agreement, existing Haldiram's shareholders will divest a portion of their equity stake. While the exact percentage sold isn't specified in this press release, sources indicate that Haldiram's has sold slightly less than 10 percent, resulting in a company valuation of approximately $10 billion.
Strong Support for Expansion Plans
This deal will allow Haldiram's to pursue its ambitious expansion plans, particularly in Indian and international markets. The company stated in a press release that this will further strengthen its market presence and help it maintain its position in the rapidly competitive market.
Fund Utilization for Expansion
Sources suggest that Haldiram's will utilize these funds to accelerate its global expansion plans. Notably, none of the proceeds from this sale will be retained by the promoters. Furthermore, Haldiram's is also in talks to sell an additional 5-6 percent stake, valued at approximately $500 million.
PwC and Khaitan & Co's Collaboration
PwC's investment banking team provided specialized financial advisory services for this significant transaction, while Khaitan & Co. acted as legal advisors. The deal is expected to close soon, pending regulatory approvals.
Haldiram's and Temasek's Partnership
A Haldiram's spokesperson stated, "We welcome Temasek as an investor and partner in Haldiram's. We aim to leverage their expertise to accelerate our business growth." The spokesperson also expressed gratitude to PwC and Khaitan & Co. for their significant contributions to the deal.
