New Delhi– Bikaji Foods International Ltd. has acquired 49 per cent stake and 396 Compulsorily Convertible Debentures (CCDs) in Bhujialalji Pvt. Ltd., an upcoming company in the ethnic snacks industry, according to a filing to the stock exchange.

The deal comprised of 9,608 equity shares and 396 CCDs at Rs 5,100 value per security aggregating to Rs 5.10 crore. The face value is Rs 10 per equity share.

Bhujialalji Pvt. Ltd. (BPL) is a new entrant to this industry with its product portfolio comprising popular Bhujia and namkeen variants.

“We are happy to announce the successful acquisition of a significant 49 per cent stake in Bhujialalji Pvt. Ltd. This marks a small step in our big growth plans and we are confident that there is no fear of brand cannibalisation; infact, multiple companies across the globe operate similarly. Our strategic vision for this collaboration is to leverage synergies that enhance the overall market position of Bikaji, while continuing to function independently. With the company strategically headquartered in Bikaner, this acquisition will help us leverage the learnings of this new brand to enable accelerated growth and expand our horizon when it comes to a new audience set. Our vision is to reach every household in India and this is our small step towards the big growth plans,” said Deepak Agarwal, Managing Director, Bikaji Foods International Limited.

On the occasion, Jai Agarwal, Promoter, Bhujialalji Pvt Ltd, said: “We are grateful to have this support from a market leader like Bikaji so early in our journey. This collaboration opens new doors for us, allowing us to learn and grow while preserving our brand salience. We are hoping to geographically expand our current market base, ranging from e-commerce to modern trade channels.”

The acquisition comes at a time when India’s organised snacktionary business is currently valued at Rs 4,240 billion. It has grown significantly in the last five years on account of changing lifestyles, rising incomes and urbanisation. In Fiscal 2015, the packaged food retail revenue was worth Rs 2,434 billion and has registered a CAGR of approximately 8.3 per cent from Fiscal 2015 to Fiscal 2022. It is estimated to grow at a CAGR of 8 per cent in next five years to reach Rs 5,798 billion, according to a Frost & Sullivan report. Indian Savoury Snacks market is valued at Rs 751 billion in 2022 and is expected to reach Rs 1,227 billion by 2026 at a CAGR 13 per cent. (IANS)