Homegrown private equity firm ChrysCapital scoops up bakery chain Theobroma in ₹2,410-crore deal
ChrysCapital
has agreed to acquire pan-India bakery chain
Theobroma Foods
for ₹2,410 crore, said people with knowledge of the matter.
According to an agreement signed between the parties, ChrysCapital will buy around 90% stake from the company's promoters and existing investor
ICICI Venture
. The promoters will retain about a 10% stake, the people said.
ICICI Venture holds a 42% stake in Theobroma. In 2017, ICICI Venture bought the stake for $20 million (₹130 crore at the time).
ChrysCapital resumed talks for acquiring Theobroma at a price lower than the original valuation ask of ₹3,000 crore from the founding family and other shareholders, ET reported in March.
The discussions, which got stalled for about a month and a half due to Theobroma's weak financial results, resumed a few months ago, the people cited above said, adding that a formal announcement is expected in a few weeks.
"Even though the Theobroma deal has been signed at a lower valuation compared to what was brought on the table first, it's being seen as a precedent for revival of
high-value transactions
in the dining and cafes sector," said a person directly aware of the developments. There are half a dozen such transactions and deal negotiations, which are currently stalled, waiting for the market to revive, the person said.
Other contenders including Bain Capital, Carlyle, and the Khorakiwala family-owned Switz Group, which operates Monginis bakery chain, had shown initial interest in Theobroma.
Arpwood Capital advised the promoters on the deal.
ET was the first to report on September 27 that ChrysCapital was keen on creating a
quick-service restaurant
(QSR) platform by buying out brands such as Theobroma and The Belgian Waffle Co.
Privately-held Theobroma was started by sisters Kainaz Messman Harchandrai and Tina Messman Wykes two decades ago, with their first outlet opening in 2004 at Cusrow Baug on Mumbai's Colaba Causeway. According to its website, Theobroma has 200 stores in over 30 cities offering brownies, cakes, desserts, chocolates, breads, and snacks.
Theobroma is expected to post revenue of ₹525-550 crore in FY25 with an Ebitda of ₹80-100 crore, said the people cited above. Adjusted Ebitda stood at ₹60 crore on a revenue of ₹400 crore in FY24. The company had also explored the possibility of an initial public offering but deferred the plan due to market volatility.
ICICI Venture and Theobroma did not respond to ET's email queries. A spokesperson for ChrysCapital declined to comment.
India's restaurant and cafe industry sector is witnessing a rebound in deals, after five quarters that saw consumers either postpone discretionary spending or reduce ticket sizes.
Recent months have seen KFC franchise company
Devyani International
take a controlling stake in Sky Gate Hospitality, which owns domestic chain Biryani By Kilo.
Wow! Momo raised ₹150 crore from Haldiram's promoter Kamal Agrawal and Malaysia's wealth fund Khazanah Nasional.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Economic Times
a few seconds ago
- Economic Times
Nifty just in pause mode, all-time high possible before Diwali: Rahul Ghose
Markets extended their losing streak for the third consecutive week, with investor sentiment remaining subdued due to a lackluster start to the earnings season and ongoing uncertainty surrounding the US-India trade to the previous week, the benchmark indices showed some strength during the initial three sessions. However, the mood shifted in the latter half, leading both the Nifty and Sensex to end near their weekly lows at 24,968.40 and 81,757.73, respectively. Analyst Rahul Ghose, Founder and CEO, Octanom Tech and interacted with ET Markets regarding the outlook on Nifty and Bank Nifty for the upcoming week. Following are the edited excerpts from his chat: How are you reading the markets right now? Right now, Indian markets are taking a much-needed breather. After a strong run earlier in the year, we've hit a consolidation phase—Nifty and Sensex have been under pressure for a few weeks in a row. There's definitely a sense of caution out there, partly because of mixed global signals and Q1 earnings being in focus. I'd say investors are taking stock and waiting to see which way the wind blows before making big moves. Make no mistake though, that the August month is going to see some big moves in the market in either direction. Are there any global factors that you see that can affect our markets?Definitely—global cues are a big part of the story at the moment. First, persistent FII outflows are weighing on sentiment; foreign investors are pulling back as US rates stay higher for longer, making developed markets a bit more attractive than emerging ones like India for we can't ignore geopolitical tensions and how they've pushed up crude oil prices. Since India is a big importer, that's an immediate worry for both inflation and the rupee. And then there's the recent wave of trade protectionism—we've seen new tariffs and measures from the US and EU, which isn't great news for Indian exporters. All in all, the external environment is a bit choppy. What's your take on the broader Nifty trend, with the index ending lower for the third straight week? The Nifty's certainly feeling the heat after its blistering rally earlier in the year. If you look at the charts, the index is at an inflection point: there's firm resistance at the 25,300 mark and support near the 24500-24800 band. For now, it looks like a consolidation phase, not a reversal. The long-term bullish story remains intact, and I would stick my neck out and say that before Diwali, we might see the Nifty move to all-time high levels; it's just the near term that can see volatile moves. Bank Nifty seemed stronger—how does it look now? Bank Nifty has been the surprising pocket of strength—it's held up better than broader indices so far and has been attracting buyers on dips. Right now, though, it's also showing signs of consolidation. Financial stocks are in a wait-and-watch mode with Q1 results coming in. I'd say Bank Nifty is still on a stronger footing, especially compared to sectors facing margin or demand pressures. Any specific strategies for Nifty and Bank Nifty traders? For Nifty, my advice would be to watch for confirmed breakouts or breakdowns and avoid getting caught in the chop. If we break above 25,255 decisively, there could be quick upside—but keep tight stop-losses at 25,000, as volatility remains Bank Nifty, buying on dips near 56,800–57,000 seems sensible, since the index is drawing buying interest at those levels. But be nimble; set clear exit points because sentiment can change quickly if results underwhelm. FIIs remain net sellers. What do you make of this, and how dependent is the market on FIIs now? Yes, FII outflows are back in focus—over Rs 90,000 crore has left Indian equities this year, and July alone saw a sharp exodus. This is really about global risk-reward equations changing, not anything fundamentally wrong with India. Higher US yields and stretched valuations here mean foreign money is seeking other said, India isn't as dependent on foreign flows as it once was. Domestic investors—both institutional and retail—are much more active and have been buyers on every dip. So, while FIIs can amplify short-term moves, domestic participation is giving our market a lot more resilience. Where did you see a long buildup? What do you recommend among those stocks? We're seeing long positions being built in names like Tata Consumer, Tata Steel, Hindalco, Trent, and M&M—sectors where earnings visibility is strong and thematic tailwinds exist. Out of these, I particularly like Tata Consumer and Trent for accumulation; both have good momentum and structural growth stories. And what about shorting opportunities? Short buildups have shown up in Tech Mahindra, IndusInd Bank, Infosys, SBI Life, and Wipro—mainly IT and a few financials hurt by guidance trims and margin pressure. These could be tactical short candidates, but my advice is to stay nimble here, as oversold bounces are also likely. Let's also discuss Q1 earnings. How has the season turned out so far? Q1 numbers are a bit of a mixed bag. The headline Nifty 50 net profit growth—over 33% YoY—is impressive, but most of that came from margin expansion in consumer and retail names, and a few standout quarters in metals. IT and some global cyclicals have been softer, which is why the market tone is more cautious. What's your view on RIL and Axis Bank after Q1 results? Reliance had a blockbuster quarter, driven by a huge jump in profits from telecom and retail. The Jio 5G rollout and robust retail segment are big positives. The Asian Paints stake sale also gave them a healthy one-off Bank delivered on the operating front, with stable core growth and healthy other income. While the headline profit was down YoY—mainly from base effect and some provisioning—the underlying business looks steady and the outlook remains constructive. How do you see HDFC Bank and ICICI Bank placed now? Both are in a strong spot, barring some short-term volatility. Their loan growth remains robust, digital initiatives are paying off, and asset quality is stable. They're both still 'core portfolio' names for most investors, and any meaningful corrections are likely to draw buyers quickly. Are any sectors outperforming? Yes, consumer durables have been a clear standout—profit growth has exploded, and demand trends look solid. Metals have rebounded thanks to commodity price cycles, and realty stocks are holding up well thanks to strong housing and telecom are also shining, with leaders consolidating market share and improving margins. Can you name any stocks within those sectors? In consumer durables, Titan and Voltas look good. Among metals, Tata Steel and Hindalco are my preferred picks. On the retail side, Trent and DMart are doing everything right, and in telecom, I like Reliance Jio and Bharti Airtel for steady subscriber and revenue growth. Technically too the chart patterns in these suggest buy on dips. Note: In case any specific security/securities are displayed in the responses as examples, these securities are quoted are for illustration only and are not recommendatory. (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
Time of India
12 minutes ago
- Time of India
Nifty just in pause mode, all-time high possible before Diwali: Rahul Ghose
Markets extended their losing streak for the third consecutive week, with investor sentiment remaining subdued due to a lackluster start to the earnings season and ongoing uncertainty surrounding the US-India trade deal. Similar to the previous week, the benchmark indices showed some strength during the initial three sessions. However, the mood shifted in the latter half, leading both the Nifty and Sensex to end near their weekly lows at 24,968.40 and 81,757.73, respectively. Explore courses from Top Institutes in Select a Course Category Operations Management PGDM Others Technology Data Analytics CXO Digital Marketing MBA Healthcare healthcare Finance Data Science Product Management Degree Project Management Public Policy MCA Leadership Management Cybersecurity Artificial Intelligence others Design Thinking Data Science Skills you'll gain: Quality Management & Lean Six Sigma Analytical Tools Supply Chain Management & Strategies Service Operations Management Duration: 10 Months IIM Lucknow IIML Executive Programme in Strategic Operations Management & Supply Chain Analytics Starts on Jan 27, 2024 Get Details Analyst Rahul Ghose, Founder and CEO, Octanom Tech and , interacted with ET Markets regarding the outlook on Nifty and Bank Nifty for the upcoming week. Following are the edited excerpts from his chat: How are you reading the markets right now? Right now, Indian markets are taking a much-needed breather. After a strong run earlier in the year, we've hit a consolidation phase—Nifty and Sensex have been under pressure for a few weeks in a row. There's definitely a sense of caution out there, partly because of mixed global signals and Q1 earnings being in focus. I'd say investors are taking stock and waiting to see which way the wind blows before making big moves. Make no mistake though, that the August month is going to see some big moves in the market in either direction. Are there any global factors that you see that can affect our markets? Definitely—global cues are a big part of the story at the moment. First, persistent FII outflows are weighing on sentiment; foreign investors are pulling back as US rates stay higher for longer, making developed markets a bit more attractive than emerging ones like India for now. Also, we can't ignore geopolitical tensions and how they've pushed up crude oil prices. Since India is a big importer, that's an immediate worry for both inflation and the rupee. And then there's the recent wave of trade protectionism—we've seen new tariffs and measures from the US and EU, which isn't great news for Indian exporters. All in all, the external environment is a bit choppy. What's your take on the broader Nifty trend, with the index ending lower for the third straight week? The Nifty's certainly feeling the heat after its blistering rally earlier in the year. If you look at the charts, the index is at an inflection point: there's firm resistance at the 25,300 mark and support near the 24500-24800 band. For now, it looks like a consolidation phase, not a reversal. The long-term bullish story remains intact, and I would stick my neck out and say that before Diwali, we might see the Nifty move to all-time high levels; it's just the near term that can see volatile moves. Bank Nifty seemed stronger—how does it look now? Bank Nifty has been the surprising pocket of strength—it's held up better than broader indices so far and has been attracting buyers on dips. Right now, though, it's also showing signs of consolidation. Financial stocks are in a wait-and-watch mode with Q1 results coming in. I'd say Bank Nifty is still on a stronger footing, especially compared to sectors facing margin or demand pressures. Any specific strategies for Nifty and Bank Nifty traders? For Nifty, my advice would be to watch for confirmed breakouts or breakdowns and avoid getting caught in the chop. If we break above 25,255 decisively, there could be quick upside—but keep tight stop-losses at 25,000, as volatility remains high. For Bank Nifty, buying on dips near 56,800–57,000 seems sensible, since the index is drawing buying interest at those levels. But be nimble; set clear exit points because sentiment can change quickly if results underwhelm. FIIs remain net sellers. What do you make of this, and how dependent is the market on FIIs now? Yes, FII outflows are back in focus—over Rs 90,000 crore has left Indian equities this year, and July alone saw a sharp exodus. This is really about global risk-reward equations changing, not anything fundamentally wrong with India. Higher US yields and stretched valuations here mean foreign money is seeking other avenues. That said, India isn't as dependent on foreign flows as it once was. Domestic investors—both institutional and retail—are much more active and have been buyers on every dip. So, while FIIs can amplify short-term moves, domestic participation is giving our market a lot more resilience. Where did you see a long buildup? What do you recommend among those stocks? We're seeing long positions being built in names like Tata Consumer, Tata Steel , Hindalco, Trent, and M&M—sectors where earnings visibility is strong and thematic tailwinds exist. Out of these, I particularly like Tata Consumer and Trent for accumulation; both have good momentum and structural growth stories. And what about shorting opportunities? Short buildups have shown up in Tech Mahindra , IndusInd Bank, Infosys, SBI Life, and Wipro—mainly IT and a few financials hurt by guidance trims and margin pressure. These could be tactical short candidates, but my advice is to stay nimble here, as oversold bounces are also likely. Let's also discuss Q1 earnings. How has the season turned out so far? Q1 numbers are a bit of a mixed bag. The headline Nifty 50 net profit growth—over 33% YoY—is impressive, but most of that came from margin expansion in consumer and retail names, and a few standout quarters in metals. IT and some global cyclicals have been softer, which is why the market tone is more cautious. What's your view on RIL and Axis Bank after Q1 results? Reliance had a blockbuster quarter, driven by a huge jump in profits from telecom and retail. The Jio 5G rollout and robust retail segment are big positives. The Asian Paints stake sale also gave them a healthy one-off boost. Axis Bank delivered on the operating front, with stable core growth and healthy other income. While the headline profit was down YoY—mainly from base effect and some provisioning—the underlying business looks steady and the outlook remains constructive. How do you see HDFC Bank and ICICI Bank placed now? Both are in a strong spot, barring some short-term volatility. Their loan growth remains robust, digital initiatives are paying off, and asset quality is stable. They're both still 'core portfolio' names for most investors, and any meaningful corrections are likely to draw buyers quickly. Are any sectors outperforming? Yes, consumer durables have been a clear standout—profit growth has exploded, and demand trends look solid. Metals have rebounded thanks to commodity price cycles, and realty stocks are holding up well thanks to strong housing demand. Retail and telecom are also shining, with leaders consolidating market share and improving margins. Can you name any stocks within those sectors? In consumer durables, Titan and Voltas look good. Among metals, Tata Steel and Hindalco are my preferred picks. On the retail side, Trent and DMart are doing everything right, and in telecom, I like Reliance Jio and Bharti Airtel for steady subscriber and revenue growth. Technically too the chart patterns in these suggest buy on dips. Note: In case any specific security/securities are displayed in the responses as examples, these securities are quoted are for illustration only and are not recommendatory. Economic Times )
Mint
an hour ago
- Mint
FPIs pull out ₹5,524 cr in July on US-India trade jitters, mixed corporate earnings
New Delhi, Jul 20 (PTI) After three months of fund infusion, foreign investors turned net sellers with withdrawal of ₹ 5,524 crore so far in July, due to ongoing trade tensions between the US and India and mixed corporate results. With this, the total outflow has reached ₹ 83,245 crore so far in 2025, data with the depositories showed. Looking ahead, the trajectory of FPI flows will hinge on developments in the US-India trade negotiations and corporate earnings, Himanshu Srivastava, Associate Director - Manager Research, Morningstar Investment Research India, said. A resolution of the trade disputes and earnings recovery could potentially restore investor confidence and attract FPIs back to Indian markets, he added. Going by the depositories data, Foreign Portfolio Investors (FPIs) withdrew a net sum of ₹ 5,524 crore from equities this month (till July 18). This came following a net investment of ₹ 14,590 crore in June, ₹ 19,860 crore in May and ₹ 4,223 crore in April. Prior to this, FPIs had pulled out ₹ 3,973 crore in March, ₹ 34,574 crore in February, and a substantial ₹ 78,027 crore in January. FPIs exhibited a notable shift in sentiment this month, reversing their previous bullish stance. This behaviour can be attributed to a combination of factors. "While elevated market valuations prompted FPIs to reassess the attractiveness of Indian equities, ongoing trade tensions, especially between the US and India, and concerns over US interest rate policies contributed to a cautious investment outlook. Additionally, mixed corporate earnings raised doubts about the sustainability of corporate profitability," Srivastava said. Vaqarjaved Khan, Senior Fundamental Analyst, Angel One, also said that global markets and macro developments along with the result season in India led to the outflow.
