The Competition Commission of India (CCI) has sanctioned the acquisition of a 72.89% stake in Prataap Snacks by Authum Investment & Infrastructure and Mahi Madhusudan Kela. Valued at Rs8.66 billion ($101 million), this transaction was detailed in September and involved the purchase through a share acquisition agreement and an open offer priced at Rs864 per share.
The shares were obtained from Peak XV Partners, formerly known as Sequoia Capital India and Sea. Established in 2009, Prataap Snacks operates within the snack food sector, delivering a variety of products under the prominent Yellow Diamond and Avadh brands. The company’s headquarters are located in Indore, Madhya Pradesh, where it manages 15 manufacturing facilities—eight of which are owned and seven contracted.
Additionally, Prataap Snacks boasts a robust distribution network that encompasses over 5,200 super/sub-distributors, ensuring its products reach independent grocers and small retail outlets across its key markets.
In a statement about the company’s financial performance for the second quarter and first half of the fiscal year ending 30 September, Managing Director Amit Kumat expressed, “We will seek to build a collaborative partnership with the new shareholders that further enriches Prataap’s position and strategic depth, with the objective of generating even greater value creation for all stakeholders in the years ahead.”
For the second quarter, Prataap Snacks reported a revenue of Rs4.41 billion, achieving an operating EBITDA of Rs192 million, which corresponds to a margin of 4.3%. During this period, the company recorded a profit after tax (PAT) of Rs62 million, resulting in a diluted Earnings Per Share (EPS) of Rs2.58.
For the first half of the financial year, Prataap Snacks achieved a revenue of Rs8.62 billion, with an operating EBITDA of Rs492 million, reflecting a margin of 5.7%. This performance translated to a PAT of Rs156 million, with a diluted EPS of Rs6.52.
