Global private equity (PE) major Advent International is investing $150 million for a significant minority stake in Iscon Balaji Foods, a maker and exporter of processed frozen potato products, according to an announcement.
The investment is part of the Gujarat-headquartered company’s $215-million Series A round, in which homegrown PE firm 360 ONE Asset is also participating.
Founded in 2012, Iscon Balaji Foods manufactures frozen potato products including French fries, hash browns, coated fries, and other specialty offerings. The company supplies quick-service restaurants and food-service distributors across India, South and Far East Asia, the Middle East, and Australia.
“Iscon Balaji Foods stands apart for the rigour of its execution, the institutional maturity of its platform, and a track record of consistent, profitable growth across market cycles,” said Shweta Jalan, Managing Partner at Advent.
Meanwhile, Neel Kotak, Chief Executive Officer at Iscon Balaji Foods, added: “We have spent years building IBF into a business that can compete on the global stage–investing in the right systems, talent, and capital discipline, because we believe that is what it takes to win in this category.
The funding will be used by the company to fuel the next phase of growth in both international and domestic markets while helping expand its operations and product portfolio.
The global market for processed frozen potato exports has grown steadily in recent years, though success in the category still depends on factors such as efficient execution, reliable supply chains, consistent product quality, and disciplined spending.
The company is also set to significantly expand its processing capacity over the next six months through a new manufacturing facility in Gujarat, which is expected to strengthen its presence in global markets.
Among other deals in the F&B space this year, Blue Tokai Coffee Roasters, a homegrown pioneer of India’s third-wave coffee movement, recently made headlines as it is raising Rs 175 crore (about $19 million) in an extension of its Series D funding round.
Last year, Temasek invested roughly $1 billion in Haldiram’s, among the largest transactions in the sector in recent years. Alpha Wave Global and other investors subsequently joined the cap table, while premium bakery chain Theobroma also raised $281 million in a funding round led by homegrown private equity firm ChrysCapital.
