New Delhi, June 19 -- Homegrown private equity firm Samara Capital, which is in the process of closing the fundraising exercise for its third flagship fund, has emerged as one of the frontrunners to pick up a significant majority stake in a chocolate manufacturer, two people aware of the development told VCCircle.
Samara, one of the oldest PE firms in India to have struck control-oriented transactions, is in advanced talks to invest in Hyderabad-based DP Chocolates Pvt Ltd, the people said, asking not to be named.
The transaction may value the company around Rs 1,200 crore to Rs 1,500 crore ($127-159 million), the people said, but didn't specify the deal size.
Email queries sent to DP Chocolates and Samara remained unanswered till the time of publishing this article.
Launched in 2007, the company primarily offers bulk chocolates and cocoa ingredients.
In 2009, the group launched the '2m' brand, focusing on bulk chocolate for bakeries, confectioneries, and the hospitality industry. In 2022, it introduced the Tenero brand, offering premium couverture chocolates made from high-quality African cocoa beans.
Currently, DP Chocolates exports cocoa butter, cocoa mass, chocolates, and compounds to the US and Europe, as per its website. The company operates five manufacturing facilities, producing 50,000 metric tonnes bulk chocolates and 60,000 metric tonnes of cocoa per annum.
The company counts Mondelez, Hindustan Unilever Ltd, ITC Ltd, Vadilal, Lotte, Jubilant Foodworks, Mother Dairy, and Mars among its clients.
It posted revenue of Rs 197 crore in FY24 as against Rs 173 crore the year before. The company's profit after tax was Rs 6.1 crore, compared with Rs 5.5 crore the year before, as per VCCEdge. The latest financials couldn't be immediately ascertained.
The broader chocolates sector has recorded a few deals in the recent past. Earlier this month, Hyderabad-based premium brand Manam Chocolate closed its Series A funding round, securing $9 million (around Rs 86 crore) led by Omnivore with participation from its existing Turner Morrison consortium.
Bliss Chocolates India Pvt Ltd, which offers craft chocolates and desserts under the SMOOR brand and is backed by Rebel Foods, is expanding its store presence in existing urban centres and expects to narrow its operating losses in the current financial year before turning profitable.
The Indian chocolate market size was valued at $3.05 billion in 2025 and is projected to reach $5.72 billion by 2034, growing at a compound annual growth rate of 7.01% from 2026-2034, as per a report published by market research and consulting firm IMARC Group.
Published by HT Digital Content Services with permission from VC Circle.