Popular snacks maker Haldiram's refuted media reports that claimed that the company is in talks with the Tata Group's consumer division, Tata Consumer Products, for the sale of 51 per cent of its stake.
A Reuters report had said the Tata Group is looking to buy at least 51 per cent stake in Haldiram's but is not comfortable with the valuation of $10 billion.
According to CNBC TV 18, the snacks maker is not in talks with Tata Consumer Products for a sale deal.
The Tata Group too refuted the report after the National Stock Exchange of India Limited (NSE) and Bombay Stock Exchange Limited (BSE) sought a clarification on the issue. “The Company is not in negotiations as reported in the above-referred news article,” Tata Group said.
In April, the Competition Commission of India (CCI) had approved the merger of Haldiram Snacks and Haldiram Foods into Haldiram Snacks Food. The Delhi-based Haldiram Snacks would own 56 per cent stake in Haldiram Snacks Food while the Nagpur entity would own 44 per cent. The Delhi unit refused to comment on the stake sale, while the Nagpur entity denied it.
The report had also said Haldiram's is also in talks with private investment firm Bain Capital about the sale of 10 per cent stake in the company.
Haldiram's reportedly has 13 per cent share of India's $6.2 billion savoury snack market.