Prataap Snacks rises 10% as Authum Invt, Mahi Kela to acquire 47% stake

Private equity (PE) major Peak XV, formerly Sequoia Capital, has sold its entire stake of close to 47 per cent in Indore-based wafer maker Prataap Snacks (PSL) for Rs 847 crore to Authum Investment & Infrastructure and Mahi Madhusudan Kela.

As per the share purchase agreement, the Sanjay Dangi family-led Authum will acquire 10.2 million shares and Kela 1.1 million shares of PSL at Rs 746 apiece for a total outgo of Rs 846 crore. They will also make an open offer to acquire an additional 6.3 million shares at Rs 864 apiece for up to Rs 544 crore.

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The open offer price, as well as the amount paid to Peak XV, is lower than the current market price of Rs 1,046 crore.