Parle in talks to acquire Polish biscuit maker dr Gerard: Report
By Sanjay Maurya
News Highlights
- Parle is in talks to buy Poland-based company, dr Gerard, from Bridgepoint.
- The Polish company is currently valued at INR 1,000-INR 1,200 crores, the report said.
- dr Gerard was launched in 1993 and has over 200 varieties of biscuits and salty snacks.
According to reports, Parle Products, the largest biscuit manufacturer in India, is in talks to acquire dr Gerard, a Polish cookie, and biscuit brand, from private equity (PE) firm Bridgepoint. According to the Economic Times(ET), the value of dr. Gerardis estimated to be 10 billion to 12 billion rupees ($121.72 million to $146.07 million), adding that it could be as high as 24 billion rupees.
Parle Products
Food processing company
- Founder: Mohanlal Dayal Chauhan
- Founded: 1929
- Revenue: 13,682 crores INR (US$1.8 billion)
- Number of employees: 50,500
- Headquarters: Vile Parle (East), Mumbai, Maharashtra, India
- Subsidiary: Parle Biscuits Pvt. Ltd.
- Type of business: Privately held company
dr Gerard was bought by Bridgepoint from France’s Groupe Poult in 2013 for an undisclosed amount. Houlihan Loki was chosen by the firm in 2022 to manage the sale of dr Gerard. The sale was postponed due to geopolitical uncertainty arising from the Russo-Ukraine War. People with knowledge of the matter say that there is still no surety if the deal will go forward.
Early discussions between dr Gerard and Parle were around manufacturing opportunities, but Bridgepoint decided to put the company on the block (potential buyers may urge to sell the company’s assets rather than its stock). If the deal goes ahead, this will be the first acquisition for Parle.
“The biscuit makers are all trying to upgrade their offerings through premiumization. Parle is still primarily a large-scale brand and an acquisition will help it reach a ready-made portfolio. dr Gerald has been a target for a long because it is PE-owned but Parle has never bought anything in India, leave alone cross-border. So, it will be interesting,” an investment banker told ET.
Established in 1993, dr. Gerard makes over 200 different biscuits and salty snacks and exports them to over 30 countries, according to its website. Parle, on the other hand, has been one of the most trusted FMCG brands in India. According to a recent report by Kantar India, Parle topped the rankings for a record 10 years in a row.
