Grapevine: General Atlantic eyes stake in Haldiram’s; Altico suitors revise bids
Photo Credit: VCCircle

Homegrown snacks maker Haldiram’s is in talks with US-based private equity firm General Atlantic to sell a minority stake, a media report said.

General Atlantic is looking to pick up a stake of about 10% in Haldiram’s, The Economic Times reported, citing people aware of the development. The deal may value Haldiram’s as much as $5-6 billion (Rs 35,900-43,100 crore), it said.

The report added that TA Associates is also in the running for a stake in Haldiram’s.

This isn’t the first time Haldiram’s has entered into negotiations with private equity firms. A few years ago, it had held talks with PE firms KKR and Everstone Capital but the discussions didn’t succeed, the report said.

The reported development comes about a year after Haldiram’s was involved in discussions with US-based breakfast cereal maker Kellogg's for a deal at a valuation of around $3 billion.

Kellogg's, the maker of Corn Flakes, scrapped the plan to acquire a stake in Haldiram’s after complex negotiations with two of the three factions of the extended family that operates companies under the Haldiram’s brand, VCCircle reported last year. If the transaction had gone through, it would have been one of the biggest deals in India’s food and beverage sector.

In another development, The Economic Times reported that SSG Capital and Cerberus Capital Management have again revised their offers for distressed non-bank lender Altico Capital. Citing people in the know, the report said that Altico’s management team has also revised its offer.

Under the revised offers, lenders to Altico may recover at least 67% of their total dues upfront, the report said.

Cerberus has raised its offer for the third time; it now offers to pay around Rs 2,600 crore cash and Rs 450 crore of security receipts payable when possible, along with an equity infusion of Rs 1,000 crore to complete projects.

Hong Kong-based SSG’s revised offer has two options – the first is similar to that of Cerberus and the second includes Rs 2,150 crore of upfront payment plus up to Rs 1,750 crore of security receipts.

Meanwhile, accounting services provider Khatabook is set to raise $70 million (about Rs 503 crore) in a funding round led by new investor B Capital Group, The Economic Times reported, citing three people directly aware of the development. The round may value Khatabook up to $300 million, it said.

Existing investors Sequoia Capital and Tencent are also expected to participate in the round, the report said.

Khatabook had secured $25 million in its Series A round of funding from venture capital firms and Chinese conglomerate Tencent in October last year.

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