Street gets ready for some snacks ๐Ÿ˜‹

Street gets ready for some snacks ๐Ÿ˜‹

Whatโ€™s poppin โ€” Indian local snack-king Bikaji Foods is all set to file docs for its upcoming IPO sometime this week โ€” looking to raise over โ‚น1,000 crores from public investors, at a $1 billion valuation!

Like most iconic Indian food brands, Bikaji had a modest start in 1987, out selling bhujia in the town of Bikaner, RJ. The brand steadily grew with the rise of the ready-to-eat food category in India, expanding its portfolio to over 300+ products that even include frozen foods.

Bikajiโ€™s manufacturing is spread across 3 states, producing over 400 tonnes of snacks daily, with sales volumes growing about ~14% through the last 5 years. Revenues for FY20 topped just over โ‚น1,000 crores. How does your D2C snack brand stack up?

Anyway, the ready to eat snack market in India is a $13 billion opportunity, growing 8-9% a year. Rise in disposable income of the middle class is a strong tailwind. Growth in international market is strong too. But competition is equally intense โ€” with Haldirams, Balaji Wafers, as well as giants like HUL, Britannia, fighting it out for more share.

Bottomline โ€” looking at investor enthusiasm for Bectorโ€™s foods, and other similar bids in the last couple years, odds are Bikaji outshines too.