General Mills Joins ITC, PE Giants in Race for 10% Stake in Balaji Wafers

18 Sep 2025 , 01:13 PM

Balaji Wafers, the Gujarat-based snack maker that dominates western India’s potato chips and namkeen market, is attracting global suitors as it explores a minority stake sale. According to a report in The Economic Times, US food major General Mills Inc, best known for brands such as Pillsbury and Betty Crocker, has approached Balaji’s promoters with interest in acquiring a significant holding.

The Virani family, which founded Balaji in 1982, is considering selling only about 10% of the company for now. The promoters have clarified that proceeds from any deal would go into a family trust rather than the company’s operations. Balaji is also said to be preparing for a potential initial public offering (IPO), with a focus on bringing in strategic partners who can provide operational expertise and support its push for national scale.

Balaji, which started out as a small-time supplier at a cinema hall in Rajkot, has grown into a powerhouse generating more than ₹6,500 crore in annual revenue and close to ₹1,000 crore in net profit. With a commanding 65% share of the organised snack market in Gujarat, Maharashtra, and Rajasthan, the company is now the third-largest salty snack player in India after Haldiram’s and PepsiCo.

The interest extends beyond General Mills. At least 10 private equity investors are reportedly in talks to buy a stake, valuing Balaji at around ₹40,000 crore ($4.53 billion). The list includes names such as Abu Dhabi Investment Authority (ADIA), KKR, Bain, Carlyle, TPG, ChrysCapital, Multiples, TA Associates, L Catterton, Goldman Sachs, and Morgan Stanley.

Industry watchers say the benchmark has been set by Haldiram’s recent $10 billion valuation, which has spurred Balaji’s promoters to explore options. Executives also expect the recent GST recalibration on snacks to provide a demand boost.

Balaji Wafers, which enjoys stronghold markets in western and central India, also exports to the US, UK, and West Asia. In FY24, the company reported net sales of ₹5,453.7 crore, up 10.7% year-on-year, while net profit surged 41.4% to ₹578.8 crore, according to Capitaline data.

The backdrop is India’s $121.3-billion packaged food market, projected to almost double to $225 billion by 2033 at a CAGR of 6.5%. For General Mills, which has a limited footprint in India, Balaji could offer a ready entry into the country’s ₹45,000-crore savoury snacks segment.

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