September 30, 2025

The popular ethnic snack maker Balaji Wafers is cooling off its plans to sell a minority stake. Why? Because private equity funds and big investors walked away after Balaji demanded a jaw-dropping ₹40,000 crore valuation! Executives from private equity firms like TPG and Temasek revealed that the deal is "unlikely to happen for now" as they just can’t agree on the price. Chandu Virani, the founder and managing director of Balaji Wafers, told ET, "We will not sell lower than our original demand of 10% stake at ₹40,000-₹45,000 crore; however, we are open to considering selling a stake lower than 10%." Virani is confident and clear, adding, "We are not in a hurry to sell any minority stake." This firm stance is quite different from rival Haldiram Snacks Foods, which recently sold nearly 15% stake to three global private equity investors, including Singapore's Temasek, at a dazzling valuation of over $10 billion (₹85,000 crore). That deal was the largest private equity deal in India’s consumer sector this year. Private equity firms had previously invested in Balaji Wafers valuing it at 35 times its EBITDA multiples, but investors are now cautious. One industry executive shared, "Investor interest in regional consumer brands is high, but that does not mean any valuation will work, especially with intense competition." Even big names like ITC and PepsiCo showed interest in buying into Balaji Wafers but later stepped back because they were not keen on buying only a minority stake. Balaji is growing fast, especially in western India’s Gujarat and Maharashtra markets, where it leads with popular snacks like ethnic namkeens and potato chips. For FY25, Balaji Wafers reported ₹6,500 crore in sales and a solid net profit of close to ₹1,000 crore. The company benefits from GST advantages and is looking at even higher demand. NielsenIQ’s June 2025 report said that smaller, regional brands like Balaji Wafers are making a big impact. They are winning customers over legacy giants thanks to lower prices, fresh products, and lightning-fast delivery through ecommerce and quick commerce. It’s also small towns that are driving growth in the ₹40,000-crore Indian snacks market. So, while Balaji Wafers isn’t ready to lower its price tag, the battle for snack supremacy in India’s fast-growing ethnic market continues to spice things up!

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Tags: Balaji wafers, Minority stake sale, Private equity, Valuation, Snacks industry, Haldiram deal,