PE firm Advent shortlists buyers to sell stake in 'Crax' maker DFM Foods

New Delhi | Mumbai: Private equity firm Advent International has shortlisted Partners Group, ChrysCapital and EQT Group for selling its 96.63% stake in DFM Foods that makes Crax snacks, people with direct knowledge of the development said. Consumer goods company ITC and financial services firm Goldman Sachs are also in contention for the stake, they said. The current deal discussions peg the valuation of the company between ₹4,000 crore and ₹4,200 crore, the executives said.

"The first stage of the deal process has been closed and advanced negotiations are underway," one of the executives said.

Rajkot-based ethnic snacks foods maker Balaji Wafers, till recently a top contender for DFM Foods, has exited, one of the people said. "Other potential strategic buyers, including Britannia, Marico and Lotte, which had been tapped by Advent, too are not in the fray now, with many citing the steep valuation that has been quoted," the person said.


Advent International, Partners Group and ChrysCapital declined to comment. Mails sent to ITC, EQT and Goldman Sachs remained unanswered at press time on Thursday. A Balaji Wafers spokesperson was unreachable for comment.

Advent, which acquired the stake in the Crax maker from WestBridge Capital in 2019 for $118.8 million, delisted the firm four years later, in January 2023.

DFM Foods reported net sales of ₹916 crore in FY26, compared with ₹705.8 crore the year before, Tracxn data citing regulatory filings showed. The over-four-decade-old company roped in former PepsiCo senior vice-president Vipul Prakash as chief executive in 2023 to streamline the business and accelerate its entry to healthier options, as well as step up presence on quick commerce platforms.

"The biggest deal play in the consumer space is now in foods and beverages. Apart from Coca-Cola and Haldiram's initial public offerings expected next year, the category is attracting large private equity interest, given the upside in the sector," said a senior executive at a large banking firm.

Last year saw marquee investors Temasek, Alpha Wave Global, International Holding Company and former Hindustan Unilever chief Sanjiv Mehta-led L Catterton India investing in Haldiram Snacks Food, valuing the company over $10 billion. Advent International acquired a minority stake in Iscon Balaji Foods which makes frozen foods, while General Atlantic acquired a 7% stake in Balaji Wafers for nearly ₹2,500 crore, valuing the latter more than ₹35,000 crore.

Recent Deals

India's consumer and retail sector saw 127 deals valued at $1.92 billion in the July-September quarter, according to Grant Thornton Bharat's Consumer and Retail deal tracker report last month.

"India's consumption story continues to attract investor interest, but capital is increasingly directed towards businesses with differentiated brands, strong category positioning and the ability to scale profitably," Naveen Malpani, partner and consumer, retail and ecommerce industry leader at the consulting and advisory firm, wrote in the report.