Tata vies with Pepsi and Reliance Retail to buy out Haldiram's amid valuation concerns

Tata Group's consumer unit is negotiating to acquire a majority stake (at least 51%) in Indian snack maker Haldiram's as reoprted by The Reuters. However, Tata is hesitant about the $10 billion valuation, considering that Haldiram's annual revenue is around $1.5 billion. This potential acquisition could lead Tata Consumer Products to directly compete with companies like Pepsi and Reliance Retail in the Indian snack food market.

Haldiram's is also in discussions with private equity firms, including Bain Capital, about selling a 10% stake. Tata Consumer Products, known for owning Tetley and partnering with Starbucks in India, is keen on expanding its consumer product offerings. Shares of Tata Consumer Products surged following news of the talks.