Key Takeaways
- • Bodhi Tree, the investment firm led by James Murdoch and Uday Shankar, agreed to invest $180 million for a majority stake in South Indian food chain Adyar Ananda Bhavan (A2B), its first investment in the food sector, according to a joint statement.
- • An industry source values A2B at roughly $350 million, though the joint statement did not disclose the exact shareholding percentage.
- • The registered Indian entity reported sales of 14.87 billion rupees ($158.8 million) and net profit of 362 million rupees ($3.9 million) in the year to March 2025, per regulatory disclosures.
- • A2B co-founder K.T. Srinivasa Raja said the deal would make the company "fit for the public markets," signaling a possible eventual stock market listing with no timeline given.
- • Shankar will chair A2B's new board, with the stated aim of building a "differentiated, professionally managed Indian food company" with global reach.
Summary
Investment firm Bodhi Tree has agreed to invest $180 million for a majority stake in Adyar Ananda Bhavan (A2B), the popular South Indian vegetarian food chain, the companies said in a joint statement reported by Reuters. The deal marks Bodhi Tree's first bet on the food sector. The firm is led by media veterans James Murdoch, younger son of Rupert Murdoch, and Uday Shankar, a senior executive of the Reliance-Disney India joint venture.
A2B, a 50-year-old business that began as a sweet shop founded by brothers K.T. Srinivasa Raja and K.T. Venkatesan, operates 160 outlets in India and more than 30 globally, with international locations in Singapore, the United States, Australia, Malaysia, and Britain. The company employs about 15,000 people. The joint statement cited the $180 million investment for majority ownership but did not disclose the exact percentage. An industry source, however, said the deal values A2B at roughly $350 million.
Financials for the Indian registered entity, Adyar Ananda Bhavan Sweets India Private Limited, show sales of 14.87 billion rupees ($158.8 million) and net profit of 362 million rupees ($3.9 million) in the year to March 2025, according to regulatory disclosures.
Murdoch and Shankar said they aim to "build a differentiated, professionally managed Indian food company" and to bring the cuisine to a broader global audience. Raja said the transaction would make A2B "a company fit for the public markets," indicating a future listing, though no timeline or further details were provided. Shankar will chair the new board.
The transaction reflects growing global investor interest in legacy Indian food brands as demand for Indian snacks and cuisine rises overseas. Singapore's Temasek bought a stake in the snacks business of Haldiram's last year at a valuation of around $10 billion. Bodhi Tree has previously invested in ALLEN Career Institute, an Indian test-preparation firm, and JioStar, the joint venture of Reliance and Walt Disney.
A2B, a 50-year-old business that began as a sweet shop founded by brothers K.T. Srinivasa Raja and K.T. Venkatesan, operates 160 outlets in India and more than 30 globally, with international locations in Singapore, the United States, Australia, Malaysia, and Britain. The company employs about 15,000 people. The joint statement cited the $180 million investment for majority ownership but did not disclose the exact percentage. An industry source, however, said the deal values A2B at roughly $350 million.
Financials for the Indian registered entity, Adyar Ananda Bhavan Sweets India Private Limited, show sales of 14.87 billion rupees ($158.8 million) and net profit of 362 million rupees ($3.9 million) in the year to March 2025, according to regulatory disclosures.
Murdoch and Shankar said they aim to "build a differentiated, professionally managed Indian food company" and to bring the cuisine to a broader global audience. Raja said the transaction would make A2B "a company fit for the public markets," indicating a future listing, though no timeline or further details were provided. Shankar will chair the new board.
The transaction reflects growing global investor interest in legacy Indian food brands as demand for Indian snacks and cuisine rises overseas. Singapore's Temasek bought a stake in the snacks business of Haldiram's last year at a valuation of around $10 billion. Bodhi Tree has previously invested in ALLEN Career Institute, an Indian test-preparation firm, and JioStar, the joint venture of Reliance and Walt Disney.
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