Haldiram Bhujiawala raises Rs 235 crore from Bharat Value Fund for minority stake

Haldiram Bhujiawala raises Rs 235 crore from Bharat Value Fund for minority stake

Kolkata-based Haldiram Bhujiawala Limited has announced the successful closure of its private placement round with Pantomath’s Bharat Value Fund (BVF), which invested Rs 235 crore in the company for minority stake.

Haldiram Bhujiawala Ltd has a legacy of more than 6 decades in snacks and savoury industry. "The company retails its products under the brand name of “Prabhuji” offering a broad product portfolio with 100+ SKUs, which enjoys strong brand recognition, especially in Eastern and North-Eastern Indian markets besides running the quick service restaurants in West Bengal and North-Eastern States. The brand ambassadors are Bollywood actors Shahrukh Khan and Rashmika Mandanna," said Haldiram Bhujiawala in a statement.

Haldiram Bhujiawala Limited operates three manufacturing units with a combined capacity of 6,035 Metric Tonnes Per Annum (MTPA).

The company claims distribution network of "approximately 2,000 distributors servicing more than 2,00,000 retailers across the country". The company operates 19 retail outlets and 60 franchise stores establishing its direct consumer reach. Currently, the company’s markets include West Bengal, Bihar, Jharkhand, and the North-Eastern regions. The company said it will use the funds to expand its manufacturing and markets outside of Eastern and North-Eastern Indian markets.

Manish Agarwal, Managing Director, Haldiram Bhujiawala said: “In the last 60+ years, we has cultivated a loyal customer base by offering delectable snacks and sweets. Our company has been a trendsetter, revolutionising food habits and tastes of India.

“Leveraging our industry insights alongside BVF’s support, we are strategically positioned to enhance shareholder value and drive growth. This partnership lays a solid foundation for generating long-term economic benefits, ensuring a prosperous future for all stakeholders."

Madhu Lunawat,CIO of Bharat Value Fund said: “With over six decades of market experience since the formation of Haldiram Bhujiawala proprietorship in 1958, the Company possesses vital understanding of consumer behaviour and market dynamics. New generation has razor-sharp focus with the modern brand, ‘Prabhuji’, which is interesting to note. We are very bullish on food, FMCG & consumer goods industry and Haldiram is poised to drive significant growth in coming years.”

The investment in Haldiram marks the BVF’s 6th overall investment and 3rd investment in consumer space within last three months. Earlier in last month, BVF invested in a personal hygiene brand, BumTum (Millennium Babycare Limited), and consumer durables company, Aniket Metals Pvt Ltd., amongst others.