SINGAPORE: Temasek Holdings is reportedly in discussions to acquire a minority stake in Haldiram Snacks, India’s largest snack manufacturer.

As reported by Bloomberg news, sources familiar with the matter have indicated that the transaction may value Haldiram at approximately US$11 billion (S$14.3 billion).

The Singapore’s sovereign wealth fund is contemplating purchasing between 10 per cent and 15 per cent of the company, which could equate to a stake worth over US$1 billion (S$1.3 billion).

The potential investment could serve as a stepping stone towards an initial public offering (IPO) for Haldiram, though the discussions are still at a preliminary stage and may not culminate in a deal.

The company, also known as Haldiram’s, has attracted interest from various other bidders, underscoring its significant market position.

A representative for Temasek has declined to provide any comments, and Haldiram has not responded immediately to requests for information.

Established by Ganga Bishan Agarwal in the 1930s in northern India, Haldiram’s offers an extensive range of products, including sweet and savoury snacks, frozen meals, and breads.

The company also operates 43 restaurants in and around Delhi, as detailed on its website.

The Agarwal family is reportedly considering various options, including a potential sale of the business or an IPO, as noted by Bloomberg News.

The growing interest of global investors in India has been fuelled by the nation’s rapid economic expansion, making it a prime location for significant deal-making.

Over the past two decades, Temasek has invested nearly US$37 billion in India, according to Mr Vishesh Shrivastav, the managing director for India investments at Temasek.

In July, Mohit Bhandari, Temasek’s Managing Director for India, during an interview with Reuters, indicated that Temasek Holdings plans to invest up to US$10 billion (approximately S$13.4 billion) in India over the next three years, with targeted investment areas including financial services and healthcare.

As Temasek becomes more cautious about investing in China, it is leaning towards increasing its investments in India.

India’s economy is growing rapidly, with its stock market near historical highs, and there is a boom in initial public offerings and mergers and acquisitions.

Bhandari stated that India currently accounts for 7% of Temasek’s global investments, and the company intends to increase this proportion.

Approximately 22% of Temasek’s investments are in the US, while 19% are in China. In the last fiscal year, for the first time in a decade, Temasek’s investments in the Americas surpassed those in China.

Temasek has been focusing on acquiring minority stakes in companies, assisting them in their growth, while largely avoiding the trend of securing majority holdings in Indian firms.

Its primary areas of interest include digitisation, consumer trends, and sustainable living.

Notable potential minority investments are said to include VFS Global, which is valued at about US$7 billion, including debt, according to Bloomberg News.

SINGAPORE: India’s Prime Minister, Narendra Modi, arrived in Singapore on Wednesday (4 Sept) for an official visit at the invitation of Singapore Prime Minister Lawrence Wong.

Accompanied by Minister of External Affairs S Jaishankar, National Security Adviser Ajit Doval, and other senior officials, PM Modi’s visit marks a significant step in the strengthening of India-Singapore relations, ahead of the 60th anniversary of diplomatic ties and the 10th anniversary of their bilateral strategic partnership, both set to be celebrated in 2025.

On Thursday (5 Sept), PM Modi and PM Wong held talks in Singapore City, resulting in the signing of four Memorandums of Understanding (MoUs) aimed at bolstering cooperation across various sectors.

These agreements signal the elevation of their bilateral ties to a “Comprehensive Strategic Partnership.”

The agreements were exchanged in the presence of PM Modi and PM Wong at Singapore’s Parliament House, with External Affairs Minister S Jaishankar and Singapore’s Foreign Minister Vivian Balakrishnan representing their respective countries.

The first MoU, signed between Singapore’s Ministry of Digital Development and Information and India’s Ministry of Electronics and Information Technology, focuses on enhancing cooperation in digital technologies, such as Digital Public Infrastructure (DPI), cybersecurity, 5G, and emerging technologies like supercomputing, quantum computing, and artificial intelligence.

It also includes initiatives for upskilling and reskilling workers in the digital domain.

India-Singapore Partnership in Semiconductor Industry

The second MoU, signed between India’s Ministry of Electronics and Information Technology and Singapore’s Ministry of Trade and Industry, establishes a partnership in the semiconductor sector.

The agreement will facilitate collaboration on semiconductor cluster development and talent nurturing, as well as investments by Singaporean companies in India’s semiconductor industry.

The third MoU, signed between India’s Ministry of Health and Family Welfare and Singapore’s Ministry of Health, aims to promote cooperation in health and medicine.

It includes joint efforts in research and innovation, human resource development in healthcare, and support for Indian healthcare professionals in Singapore.

The fourth MoU, signed between India’s Ministry of Skill Development and Entrepreneurship and Singapore’s Ministry of Education, focuses on educational cooperation and skills development, particularly in technical and vocational education and training.

This agreement complements ongoing initiatives between the two nations in skill development.

Following the discussions, PM Modi expressed his satisfaction with the talks in a post on social media platform X, highlighting the focus on cooperation in areas such as skilling, technology, healthcare, and artificial intelligence.

The discussions with my friend, PM Lawrence Wong continued today. Our talks focused on boosting cooperation in areas like skilling, technology, healthcare, AI and more. We both agreed on the need to boost trade relations. @LawrenceWongST pic.twitter.com/FOSxXQOI3u

— Narendra Modi (@narendramodi) September 5, 2024

The Ministry of External Affairs (MEA) of India also released a statement noting that the two leaders reviewed the progress of India-Singapore bilateral relations and decided to elevate their relationship to a Comprehensive Strategic Partnership, a move expected to significantly boost India’s Act East Policy.

PM Modi also congratulated PM Wong on his recent appointment as Singapore’s Prime Minister, expressing confidence in the continued progress of Singapore under the leadership of its fourth-generation leaders.

The MEA further emphasized Singapore’s role as a leading economic partner for India, with investments totaling around US$150 billion in the Indian economy.

The two leaders also reviewed cooperation in defense, security, maritime domain awareness, education, financial technology, new technology domains, science and technology, and knowledge partnership.

They emphasized the importance of strengthening connectivity between the two countries to enhance economic and people-to-people ties.

On 5 September, PM Modi also met with Singapore President Tharman Shanmugaratnam and senior ministers.

He will also engage with Singaporean business leaders and hold discussions with key figures in the semiconductor sector.