General Mills joins PE giants in race for 10% stake in Balaji Wafers

General Mills joins ITC, PepsiCo, and private equity firms in talks to acquire a 10% stake in Balaji Wafers. The company generates over ₹6,500 crore in annual revenue and is exploring a partial stake sale to scale nationally and prepare for an initial public offering. The valuation is estimated at ₹40,000 crore ($4.53 billion), with interested parties including Abu Dhabi Investment Authority, KKR, and Bain.

General Mills Inc. has joined a host of suitors, including ITC Ltd and several private equity firms, in talks to acquire a 10% stake in Balaji Wafers, an Indian snack giant. The talks come as Balaji Wafers explores a partial stake sale to scale nationally and prepare for an initial public offering (IPO) in the next 5-6 years At least 10 private equity suitors circle Balaji Wafers for 10% stake^[2].

Balaji Wafers, headquartered in Rajkot, generates over ₹6,500 crore in annual revenue and has a net profit of nearly ₹1,000 crore in 2024-2025. The company is considering selling a stake at an estimated valuation of ₹40,000 crore ($4.55 billion) General Mills in talks for stake in India’s Balaji Wafers- ET^[1]. General Mills, currently with a limited presence in India through its Pillsbury-branded flour and baking items, sees this as an opportunity to gain access to India's highly lucrative savory snack market.

The list of interested parties includes Abu Dhabi Investment Authority (ADIA), KKR & Co., Bain & Company, Carlyle, TPG, ChrysCapital, Multiples, TA Associates, L Catterton, Goldman Sachs, and Morgan Stanley. ITC Ltd is the only fast-moving consumer goods company among the suitors At least 10 private equity suitors circle Balaji Wafers for 10% stake^[2].

Balaji founder Chandu Virani has stated that the stake sale is aimed at bringing in professional management. The company is considering an IPO in the next 5-6 years, which would be facilitated by the stake sale General Mills in talks for stake in India’s Balaji Wafers- ET^[1].

The potential acquisition by General Mills and other suitors could significantly impact the Indian snack market, as Balaji Wafers is one of the largest players. The stake sale also suggests a strategic shift in Balaji Wafers' growth plans, as it seeks to attract substantial investment to scale operations and prepare for an IPO.