Kellog may buy Haldiram’s
Kellog is in talks with Haldiram’s to acquire 51% stake business:
Kellog is in talks with Haldiram’s to acquire 51% stake business:
Kellog is not able to expand with its current offerings of breakfast cereals.
It lost out to Hindustan Unilever Limited in acquiring GSK’s health drinks business.
HUL acquired it for INR 31,700 crore.
Show me some numbers:
HUL’s food business is worth INR 10,700 crore.
Kellog’s Indian business is one tenth of HUl. It is just INR 1000 crore.
Haldiram’s annual revenue is worth worth INR 4,100.
What is the deal?
Haldiram wants to raise INR 2500.
It wants to sell 25% stake in its consumer packaged goods business. It will retain the restaurant business.
Kellog is looking at 51% of the business.
Why does it matter?
Haldiram is Delhi-NCR’snbiggest food brands.
It is ahead of the major quick service brands such as Mcdonald’s, Pizza Hut, Dominos, KFC and others.
Foreign majors are not able to scale their parent offerings in India.
Patanjali and Dabur are also two big brands from the region.
What is the bigger picture?
Delhi-NCR may emerge as the future the consumer packaged goods & food and beverage brands.
Some local brands are RJ Corp’s Varun Beverages & Devyani Food International, Halidarm’s, Jubilant Foods, Barista, Hector Beverages, Little Byte Foods, Sagar Ratna Group, Moti Mahal Deluxe, Delhi Heights, Kebenter’s etc.
Local businesses and brands should build more brands as the current organised market is not more than 30%.
Dig more with:
Worth your time: