Haldiram Bhujiawala Buys Coffee Bean Franchise From Everstone Capital

They have acquired a total of 89 outlets as part of this deal and are looking to expand the coffee chain and ice cream business.
Everstone Capital in a deal sold The Coffee Bean and Tea Leaf India franchise to Haldiram Bhujiawala which cost close to Rs. 100 crore.

Everstone Capital in a deal sold The Coffee Bean and Tea Leaf India franchise to Haldiram Bhujiawala which cost close to Rs. 100 crore.

The Kolkata based company has also bought the Gelato Italiano brand as part of the deal, said Manish Agarwal.

He also said that his company has bought a majority stake in Pan India Food Solutions, a holding company which as set by Everstone Capital to house the coffee chain and ice cream parlor business. They have acquired a total of 89 outlets as part of this deal and are looking to expand the coffee chain and ice cream business.

Pan India owns brands such as Spaghetti Kitchen and food courts Spoon and FoodTalk. Some of these brands are also part of the deal.The Coffee Bean and Tea Leaf is a chain of the coffee parlors that has more than 1,000 outlets in the home market of the US. It opened its first outlet in Saket, South Delhi in 2008, before expanding Pan India.

Both the premium coffee and gelato segments are under-penetrated and have growth potential in India, said Samir Kuckreja, the founder of hospitality consultancy Tasanaya Hospitality. “Haldiram’s is a popular Indian QSR chain, so there will be broad synergies in terms of support functions and administrative operations. But it would be interesting to see how a pure-play gelato and a premium coffee brand will synergize with Haldiram’s brand.”

In the past two years, Everstone has had to put a halt to the expansion plans and shut down outlets of the coffee chain and the Spaghetti Kitchen due to losses at Pan India, as mentioned by an industry executive. Although filings with ROC show that Pan India Foods had 50-crore sales in the financial year 2018 but it was making a loss. The liabilities exceeded assets, hence resulting in negative net worth for the company, according to the auditors.

Source- Everstone Capital

Recently, On January 2019 Everstone Capital-controlled Pan India Food Solutions Pvt. Ltd has sold casual dining brand Bombay Blue to Yellow Tie Hospitality Management LLP, a food and beverage franchise management company

The Haldirams group has three segments which operate out of Delhi, Nagpur, and Kolkata. Haldiram Bhujiawala is the company that belongs to the family-based out of Kolkata.

In the last 60+ years, Haldiram’s has successfully created a new segment of loyal food lovers by offering mouth-watering snacks & sweets.