Latest news with #KainazMessmanHarchandrai
Time of India
15 hours ago
- Business
- Time of India
ChrysCapital to acquire 90% stake in Theobroma for Rs 2,410 crore; ICICI venture exits after 7 years: Report
(Image credit: TheoBroma website) ChrysCapital, a domestic private equity firm, has reached an agreement to purchase Theobroma Foods, a nationwide bakery chain, for Rs 2,410 crore, according to informed sources, quoted by Economic Times. The transaction involves ChrysCapital acquiring approximately 90% ownership from the current promoters and ICICI Venture, whilst the promoters will maintain a 10% stake in the business. ICICI Venture currently owns 42% of Theobroma, which it acquired in 2017 for $20 million (equivalent to Rs 130 crore then). According to ET report in March, ChrysCapital recommenced negotiations to acquire Theobroma at a reduced price from the initial Rs 3,000 crore valuation sought by the founding family and shareholders. The talks, which had paused for approximately six weeks due to underwhelming financial performance, resumed recently. No official announcement has come with regards to the acquisition yet. "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 source, directly involved in the matter, to ET. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like An engineer reveals: One simple trick to get internet without a subscription Techno Mag Learn More Undo Several similar transactions and negotiations are currently suspended, awaiting market improvement. Initial interest in Theobroma was expressed by other potential buyers including Bain Capital, Carlyle, and the Khorakiwala family's Switz Group, which manages the Monginis bakery chain. The promoters received advisory services from Arpwood Capital for this transaction. ET initially reported on September 27 about ChrysCapital's interest in establishing a quick-service restaurant platform through acquisitions including Theobroma and The Belgian Waffle Co. Sisters Kainaz Messman Harchandrai and Tina Messman Wykes established the privately-owned Theobroma, launching their first outlet in 2004 at Cusrow Baug, Mumbai's Colaba Causeway. Their website indicates 200 stores across over 30 cities, offering various baked goods and confections. ET sources suggest Theobroma's projected revenue for FY25 is Rs 525-550 crore with an Ebitda of Rs 80-100 crore. FY24 saw an adjusted Ebitda of Rs 60 crore on Rs 400 crore revenue. Earlier IPO plans were postponed due to market instability. India's restaurant and café sector is experiencing renewed deal activity following five quarters of reduced consumer spending. Recent developments include Devyani International's acquisition of controlling interest in Sky Gate Hospitality (Biryani By Kilo), while Wow! Momo secured ₹150 crore from Haldiram's promoter Kamal Agrawal and Malaysia's Khazanah Nasional. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
India Today
15 hours ago
- Business
- India Today
Baked with love, valued in crores: The Theobroma story
Theobroma, the iconic bakery brand that introduced India to brownies and cakes with a European flair, is set for a major a milestone in the journey of a business that began as a one-room kitchen in south Mumbai, private equity giant ChrysCapital has agreed to acquire a 90% stake in the company for Rs 2,410 crore, reported the Economic in 2004 by sisters Kainaz Messman Harchandrai and Tina Messman Wykes, Theobroma grew from a modest Colaba cafe into a 225-store pan-India chain, serving everything from gooey brownies and buttery croissants to puffs, sandwiches, and festive cakes. Now, it's become the latest darling of India's fast-evolving food and beverage sector, attracting investor interest from global heavyweights like Bain Capital and Carlyle before ChrysCapital finally emerged as the winning bidder. The deal will see ChrysCapital buy out Theobroma's promoters and existing investor ICICI Venture, which had invested Rs 130 crore in the brand in 2017. The founding Messman family is expected to retain around 10% stake in the BAKING AT HOME TO BOARDROOM INTERESTIn her 2020 memoir 'The Theobroma Story: Baking a Dream', Kainaz Messman recounted how a back injury while working as a pastry chef at the Oberoi Udaivilas forced her to rethink her career. A Le Cordon Bleu-trained ptissire, she joined forces with her sister Tina and drew inspiration from their mother's home-run baking with seed capital of Rs 1.5 crore provided by their father, the duo opened their first caf on Colaba Causeway during Dussehra in 2004. It was initially seen as a small step up from their home kitchen - but it would soon snowball into something far name "Theobroma," meaning 'food of the gods', was suggested by a friend, and it quickly became synonymous with indulgent treats and an elevated but affordable dessert experience. View this post on Instagram A post shared by Theobroma Patisserie India (@theobromapatisserie)At a time when India's caf and bakery scene was still developing, Theobroma struck gold with its soft-centred brownies, gooey tarts, and rich cakes-bringing European-style desserts to a younger, aspirational audience without premium pricing. That formula, combined with a sharp focus on quality and consistency, helped the brand build a fiercely loyal customer base, according to BIG BET ON QSRChrysCapital's acquisition of Theobroma is part of its broader strategy to create a powerful quick-service restaurant (QSR) portfolio. The fund has also been in talks to buy other high-growth food brands such as The Belgian Waffle Co., and its latest move signals growing investor appetite for scalable, consumer-facing businesses in the final valuation, Rs 2,410 crore, was lower than the Rs 3,000 crore initially sought, the deal is being hailed as a much-needed boost for the F&B sector. According to people familiar with the discussions, conversations had paused for nearly six weeks earlier this year due to weak financials but resumed after adjustments."This is being seen as a precedent for revival of high-value deals in the dining and caf space," a person involved in the transaction told *ET*.Theobroma is expected to clock Rs 525-550 crore in revenue and Rs 80-100 crore in EBITDA in FY25. In FY24, it posted Rs 400 crore in revenue and Rs 60 crore brand had previously explored going public, but volatile market conditions delayed its IPO SETS THEOBROMA APARTWhat sets Theobroma apart is its ability to thrive in a space where others have stumbled. American bakery chains like Au Bon Pain exited India after struggling to crack the model, as per on the other hand, scaled by tweaking its product strategy. It gradually reduced the number of highly perishable baked goods on its menu and increased its focus on items with slightly longer shelf lives - brownies (up to five days), sandwiches (one day), and puffs (same day). It also built regional commissaries to maintain freshness across its stores, with Bengaluru alone housing two units to serve over two dozen outlets. View this post on Instagram A post shared by Theobroma Patisserie India (@theobromapatisserie)advertisementThis operational control, combined with brand loyalty, made the company attractive to investors. According to market intelligence firm Tracxn, Theobroma's revenue multiples (7-9X) are now on par with other high-growth food ventures like Blue Tokai, Chaayos, and Wow! rise is a story of taste meeting timing. Its founders didn't have a business plan - just a passion for baking and a belief that quality desserts could be made accessible. That belief turned into a Rs 2,410 crore business in two decades.- EndsMust Watch
Indian Express
18 hours ago
- Business
- Indian Express
Theobroma patisserie chain, built by Mumbai-based sisters, eyes Rs 2,410 crore deal with ChrysCapital
Pan-India patisserie chain Theobroma, founded by Mumbai-based sisters Kainaz Messman Harchandrai and Tina Messman Wykes, is likely to be acquired by private equity firm ChrysCapital for Rs 2,410 crore. According to The Economic Times, the homegrown private equity firm will reportedly purchase nearly 90 per cent of the company from its founding promoters, the Wykes family, and existing investor ICICI Venture. The remaining 10 per cent stake is expected to remain with the current shareholders. Born in a small kitchen in Colaba at a neighbour's request, Theobroma — Greek for 'Food of the Gods' — was founded in 2004 by the two sisters. It began as a modest café with just four tables in Mumbai's Colaba and has since grown into a leading patisserie chain with presence in over 30 cities across India. What makes Theobroma's journey exciting is the fact that it is a story of a family coming together and turning their dreams into reality. Kainaz, often described as the soul of Theobroma, began baking as a child, helping her mother, who ran a home-bakery called Not Just Desserts. A trip to France at 16 proved to be a turning point, inspiring her to pursue the culinary arts. She later graduated from Institute of Hotel Management (IHM) Mumbai and the Oberoi Centre of Learning and Development (OCLD) in Delhi, and went on to work as a pastry chef at the Oberoi Udaivilas. In 2004, she launched Theobroma as a cosy neighbourhood coffee shop in Colaba. The second outlet opened in Bandra in 2010 — and the rest, as they say, is history. Today, Theobroma is a household name, with its signature brownies becoming a mainstay across India.
NDTV
20 hours ago
- Business
- NDTV
Theobroma Patisserie Built By Two Indian Sisters Sells 90% Stake To ChrysCapital
Pan-India bakery chain Theobroma Foods is set to be acquired by homegrown private equity firm ChrysCapital for ₹2,410 crore, according to a report by The Economic Times. For those unfamiliar, Theobroma is a patisserie known among food lovers for its brownies, cakes, desserts, chocolates, breads and savouries. As per the agreement signed between the parties, ChrysCapital will acquire around a 90% stake from the company's promoters and existing investor ICICI Venture. The founding family will retain around a 10% stake, the report added. Currently, ICICI Venture holds 42% of Theobroma. "Even though the Theobroma deal has been finalised at a lower valuation than what was initially proposed, it is being viewed as a precedent for the revival of high-value transactions in the dining and cafes sector," a person directly involved in the talks told ET. ChrysCapital is reportedly looking to build a quick-service restaurant (QSR) platform. Reports suggest it is also planning to acquire the popular food brand The Belgian Waffle Co. to strengthen its position in the segment. More About Theobroma Theobroma was founded by sisters Kainaz Messman Harchandrai and Tina Messman Wykes in 2004. The brand opened its first pastry store at the iconic Cusrow Baug on Colaba Causeway in Mumbai. Today, Theobroma is a pan-India patisserie chain with outlets in over 30 cities. The name Theobroma comes from the Greek words theos (god) and broma (food), meaning "food of the gods". At a time when India's baking scene was not as evolved as it is today, Kainaz and Tina Messman carved a niche among urban youth who were looking for European-style brownies and desserts that were not only delicious but also affordable.
News18
21 hours ago
- Business
- News18
Theobroma To Be Sold To ChrysCapital For Rs 2,410 Crore: Report
ICICI Venture, which currently holds a 42% stake in Theobroma, had invested $20 million (approximately Rs 130 crore at the time) back in 2017. According to ET, discussions between ChrysCapital and Theobroma had resumed earlier this year after a six-week pause triggered by weak financial performance. While the initial valuation target was around Rs 3,000 crore, the final transaction was closed at Rs 2,410 crore. Despite the markdown, the deal is being seen as a positive signal for the restaurant and cafés sector, where several high-value transactions had stalled due to market volatility. '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 the revival of high-value transactions in the dining and cafes sector," a person directly involved told ET. Arpwood Capital advised Theobroma's promoters on the transaction. ChrysCapital, ICICI Venture, and Theobroma declined to comment on the development, according to ET. Theobroma had drawn interest from multiple suitors, including Bain Capital, Carlyle, and Switz Group — the owner of Monginis bakery — but ChrysCapital ultimately emerged as the chosen investor. As previously reported by ET, ChrysCapital is working towards building a quick-service restaurant (QSR) platform and is looking to acquire marquee food brands such as Theobroma and The Belgian Waffle Co. This latest acquisition is seen as a significant step in that direction. Founded in 2004 by sisters Kainaz Messman Harchandrai and Tina Messman Wykes, Theobroma started with a single outlet in Mumbai's Colaba and has grown to over 200 stores across more than 30 cities. It is widely popular for its brownies, cakes, breads, desserts, and chocolates.
