Sodexo in talks to buy Shashi Catering
Mumbai | New Delhi: Sodexo is in talks to acquire Shashi Catering Services in what could become the largest acquisition in India's contract food services
Mumbai | New Delhi: Sodexo is in talks to acquire Shashi Catering Services in what could become the largest acquisition in India's contract food services and facilities management industry, people familiar with the matter, said.The transaction would include Shashi Catering's food and facilities management operations spread across five entities with combined annual revenue exceeding ₹700 crore, the people said, asking not to be identified as the discussions were private. The deal size could not immediately be ascertained.
PwC is advising on the transaction.Sodexo said it does not comment on market rumours. Shashi Catering did not respond to the query.Also read | External shocks expose India's slide into middle-income stagnationIf completed, the acquisition would surpass previous deals in the sector and mark a significant milestone in the consolidation of India's contract food services market. It would also be Sodexo's largest acquisition in the country since its purchase of Radhakrishna Hospitality Services Group more than a decade ago for over ₹500 crore, a transaction that helped the French company deepen its footprint in institutional catering and workplace services.131780908The development comes as the world's largest food-services providers intensify efforts to expand in India, one of the fastest-growing markets for outsourced catering and facilities management.
Industry executives said the acquisition would strengthen Sodexo's position against rival Compass Group, which has also been pursuing aggressive expansion in the country. In 2024, Compass India Food Services, a unit of UK-based Compass Group, acquired sICS Foods to bolster its presence in the
institutional catering segment.Also read | Oman unveils Muscat Peace Plan to prevent future regional conflictsA takeover of Shashi Catering would significantly enhance Sodexo's scale, customer base and regional reach, particularly in western India where the Gujarat-based company has built a strong presence over several decades.
The BriefWire