Top Food Company in World: Capital Food, the owner of Ching’s Secret in India, is selling its business. In such a situation, many big firms have joined the race to buy it. The list of final bidders includes several firms like Tata Group company, Nestle India, Hindustan Unilever, ITC, Orkla and Nissin Food. With so many companies participating in one race, the competition has become interesting.
The three major shareholders of Capital Food had decided to sell their stake only last year. The three major shareholders are Invus Group, a European family office and investment arm, with 40 per cent, US private equity group General Atlantic with 35 per cent and Capital Food Chairman Ajay Gupta with 25 per cent.
Big giants in the race to buy Capital Foods
Big food companies of the world have joined the race to buy Capital Food. The world’s largest company Nestle, Tata Group, ITC, Hindustan Unilever Limited, Japan’s largest noodle food company Nissin Foods, Norway’s Orkla and the world’s fifth largest food company Kraft Heinz Corporation, the owner of Ching’s Secret, are the last to buy the company. Some have joined during the week.
Bidding may happen in May
According to ET’s report, most of the buyers have held a meeting with the company’s management and the rest of the buyers may hold a meeting before the bid. The bidding for Capital Food can be completed before May. Capital Food was introduced in 1995 by Ajay Gupta. This company manufactures and sells things like soup, noodle, condiment, curry paste and garlic paste in India.
How much is the deal expected to be
At the end of March 2022, Capital Food suffered a loss of 14 per cent, due to which the company’s revenue came down to Rs 580 crore. Although it is expected to be up to Rs 900 crore in FY 2023. Bidding for Capital Food can start from $1 billion to $1.25 billion.
