Nepalese billionaire behind Wai Wai noodles plans India unit's IPO
Nepalese billionaire Binod Chaudhary, who amassed his wealth through the instant noodle business, has announced plans to take his conglomerate, Chaudhary Group's (CG) food division in India, public by 2026. The Gurgaon-based firm is known for its popular Wai Wai noodle brand. It competes with Nestle's Maggi and ITC's Yippee. This decision comes on the heels of launching new products and acquiring smaller companies within the noodle sector.
Wai Wai's India division targets significant listing by 2026
Currently, the company holds a 28% stake in India's instant noodle market and generates an annual turnover of ₹8 billion ($96.2 million). The firm aims to increase its revenue by 15% this year. The company is gearing up for a sizable listing in the next two years after rolling out new products and acquiring smaller firms in the noodle-related industry, said Manvendra Shukla, global CEO at CG Foods India Pvt.
Wai Wai's IPO plans align with broader food industry trend
CG Foods India's IPO plans are in line with a wider trend in the food industry. Companies such as Gopal Snacks Ltd. and Mukka Proteins Ltd. have recently gone public, contributing to a record number of IPOs in India over the past year. This surge is driven by investors attracted to India's political stability and its status as one of the world's fastest-growing major economies.
Chaudhary Group's strategic approach to strengthen market share
Chaudhary Group introduced the Wai Wai noodle brand four decades ago in Kathmandu, Nepal, and it has since become India's third-largest brand. The company is taking a measured approach toward listing and aims to strengthen its market share and product range first. It is also exploring acquisitions of smaller firms specializing in seasonings, dips or ketchups.
CG Foods India expands product line amid rising demand
CG Foods India operates seven plants across Nepal and India, with these two countries accounting for over 80% of the group's food sales. The company plans to add production lines as demand continues to rise in India, where snack and soft drink sales have nearly tripled over the past decade, surpassing $30 billion. Recently, the company introduced two new flavors, including a spicier variant named Dynamite, inspired by Korean cuisine. More products are in development, including healthier noodle alternatives.
