Funds advised by Apax Partners agreed on 5 January to acquire a significant minority stake in iD Fresh Food, a Bengaluru-based maker of fresh ready-to-cook Indian foods, from Premji Invest and TPG NewQuest.
Why Apax Funds is buying iD Fresh Food (significant minority stake)
Apax said iD Fresh had delivered strong, consistent growth in large, under-penetrated markets and that it would help expand distribution, strengthen the brand, develop adjacent categories and use technology in the supply chain. The company said the money would help it build capacity and expand into more cities and markets.
“iD Fresh has delivered strong, consistent growth in large, under-penetrated markets.”
Deal terms and financing
Financial terms and the size of the stake were not disclosed. Premji Invest and TPG NewQuest, the sellers, keep holdings, as do co-founder PC Musthafa and the management team.
Regulatory approvals and timing
Completion is subject to customary regulatory approvals and closing conditions.
Market context
iD Fresh was founded in 2005 and estimates it holds 50-60% of its core categories of branded batter and Indian flatbreads. It reports growth of about 25% with double-digit EBITDA margins.
