New Silk Route Partners to exit Moshe's Fine Foods biz

New Silk Route Partners LLC (NSR), is planning to sell, Moshe’s Fine Foods Pvt. Ltd, to a strategic buyer.

NSL is in talks with several buyers in the last six months, two persons familiar with the development told a media daily.

NSR acquireda majority stake in Moshe’s in September 2013. As per registrar of companies (RoC) data, NSR’s holding in Moshe is 58 per cent as on 31 March 2015. The remaining stake is held by its founder Moshe Shek, an Indian entrepreneur. The company runs a chain of restaurants and cafes that specialize in Mediterranean cuisine under the brand name Cafe Moshe’s.

Moshe’s Fine Foods started operations in 2004 when it opened its first outlet at Cuffe Parade, Mumbai.

Today, it runs 14 outlets across Mumbai and Pune under Cafe Moshe brand.

“NSR have been discussing with several investment bankers for offering a sell mandate but nothing has been signed yet. The enterprise value of Moshe’s could be ranged fromRs.75-Rs.100 crore,” added the person aware of the news.

Moshe’s reported revenue ofRs.22.7 crore in 2014-15, up fromRs.20.9 crore in the previous financial year, data from the company’s filings with the RoC shows.

In 2014-15, Moshe’s loss stood atRs.6.57 crore, almost double the loss reported in the previous year atRs.3.32 crore. The company has continually reported losses since 2012-13, when it reported a loss ofRs.57 lakh.

“It could be tough to find a buyer for Moshe’s in the backdrop of declining performance of the chain. NSR has not pumped any money for the expansions and not bothered about scaling up the business,” said the second person.

When contacted, an NSR spokesperson declined to comment. Interestingly, Moshe’s is NSR’s last investment in India.