Bikaji Expands into Premium Café and Bakery Segment with Stake in The Hazelnut Factory

Bikaji Foods International Limited (Bikaji), one of India’s leading ethnic snack brands, has announced a strategic investment through its wholly-owned subsidiary, Bikaji Foods Retail Limited (BFRL). The company will invest Rs 131.01 crore to acquire a 53.02 percent stake in Hazelnut Factory Food Products Private Limited (The Hazelnut Factory), a café and artisanal sweets brand based in Lucknow. The investment will take place over the next two years, to expand Bikaji’s presence in the Quick Service Restaurant (QSR) and premium bakery sectors.

With this acquisition, Bikaji plans to broaden its product range by incorporating premium bakery and patisserie offerings. It also enhances its café menu to cater to changing consumer preferences in India’s retail market. The Hazelnut Factory operates six stores in Lucknow, with additional outlets in Kanpur and Delhi, offering a combination of specialty coffee, artisanal sweets, and bakery items.

The acquisition aligns with Bikaji's strategy to build a ‘House of Brands,’ expanding its portfolio into the growing QSR market. Deepak Agarwal, Managing Director of Bikaji Foods International stated, "This acquisition marks a significant step in Bikaji’s journey to expand beyond traditional ethnic snacks and enter into retail QSR, premium artisanal sweets, and bakery segment. By integrating THF's premium offerings and Bikaji’s manufacturing capabilities, we aim to cater to unique customer tastes and preferences, establishing Bikaji as a key player in the QSR space.”

Ankit Sahni, Founder of The Hazelnut Factory added, “We are excited to partner with Bikaji. With our innovative culinary offerings and Bikaji’s strong distribution network and operational excellence, we are well-positioned to accelerate our growth. Our combined expertise will allow us to cater to a wider audience.”

This acquisition comes as the QSR segment in India is experiencing rapid growth, particularly in tier-ll and tier-lll cities. Factors such as urbanization, a growing young population, increased travel, and expanding internet access are driving demand for convenient dining options. With this investment, Bikaji is poised to leverage these opportunities and strengthen its presence in India’s evolving retail and QSR landscape.