Bikaji Foods buys 49% stake in Bhujialalji

MUMBAI: Bikaji Foods International Ltd has acquired a 49% stake and 396 Compulsorily Convertible Debentures (CCDs) in Bhujialalji Pvt. Ltd., an upcoming company in the ethnic snacks industry, the company announced on Wednesday.

“Our strategic vision for this collaboration is to leverage synergies that enhance the overall market position Bikaji, while continuing to function independently. With the company strategically headquartered in Bikaner, this acquisition will help us leverage the learnings of this new brand to enable accelerated growth and expand our horizon when it comes to a new audience set,” said Deepak Agarwal, managing director, Bikaji Foods International Ltd.

On the occasion, Jai Agarwal, promoter, Bhujialalji Pvt Ltd said, “We are hoping to geographically expand our current market base, ranging from e-commerce to modern trade channels.” The deal comprised the purchase of 9,608 equity shares and 396 CCDs at Rs 5,100 value per security aggregating to Rs 5.10 crore at a face value is Rs 10 per equity share.

Bhujialalji Pvt. Ltd. (BPL) is a new entrant into this industry with a product portfolio comprising bhujia and namkeen variants.

The acquisition comes at a time when India’s organised snacks business is currently valued at Rs 4,240 billion. In fiscal 2015, the packaged food retail revenue was worth Rs 2,434 billion and registered a CAGR of about 8.3% from fiscal 2015 to fiscal 2022.

BlurbThe deal comprised the purchase of 9,608 equity shares and 396 CCDs at Rs 5,100 value per security aggregating to Rs 5.10 crore at a face value is Rs 10 per equity share