Wednesday, 22 August 2018

Prataap Snacks to acquire 80% stake in Avadh Snacks for Rs 1.48 billion

Snacks, waffers, snacks market

Prataap Snacks Ltd (PSL), one of India’s fastest growing snack foods companies, has announced the acquisition of Gujarat's leading Avadh Snacks Private Limited. The former has agreed to acquire an 80 per cent equity stake for a consideration of Rs 1.48 billion through a combination of primary and secondary investment. Started in 2010, Avadh has a well-diversified and strong product portfolio of traditional snacks like bhujia, chevda, fafda, gathiya, and extruded pellets like wheels, cups, pasta, etc.. The company is now expanding to neighbouring states of Maharashtra and Rajasthan. Amit Kumat, MD and CEO, Prataap Snacks said: “PSL has been one of the fastest growing snacks food companies. Our acquisition of Avadh will help us accelerate our growth and deepen our presence in the key market of Gujarat. We are impressed with the founders and the velocity of growth of Avadh’s business since inception. Gujarat is the biggest salty snacks market in India and is one of the most important markets where PSL would like to build a presence with a strong partner like Avadh.'' ‘‘The product bouquet of PSL and Avadh are complementary and will create a balanced portfolio with a mix of regional and national flavours and variants across categories. The acquisition will also lead to a significant synergy in distribution across Gujarat and neighbouring markets,” Kumat added.

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