New Delhi: Tata Group is likely to compete directly with Pepsi and billionaire Mukesh Ambanis Reliance Retail as the conglomerates consumer unit is in talks to buy at least 51% of popular snack food maker Haldirams, Reuters reports said.
The talks are yet to reach a conclusion as Tata is not comfortable with the $10 billion valuation sought, two people briefed on the matter said, the report said quoting sources.
Haldirams is a popular name in India with presence throughout the country.
The report is also in discussions with private equity firms including Bain Capital about the sale of a 10% stake, they said.
The source was quoted as saying by Reuters that Tata (Consumer) is seen as a tea company, and Haldirams is huge in the consumer space with a wide market share
Reuters reported that the sources spoke on condition of anonymity.
Founded in 1937, Haldirams crispy bhujia is one of the most preferred snacks in India and is available for as little as 10 rupees in stores.
Indias savoury snack market is nearly $6.2 billion where Haldirams share has 13%, according to Euromonitor International.
Pepsi, whose Lays chips is one of the top brands, also has around 13%.
