Chennai-Based A2B Sells Majority Stake to Bodhi Tree for $180 Million

Chennai-based Adyar Ananda Bhavan (A2B), a popular South Indian vegetarian restaurant and sweets chain, has sold a majority stake to Bodhi Tree Systems for $180 million (over Rs. 1,600 crore). The deal values the 50-year-old company at approximately $350 million.

Bodhi Tree Systems is backed by James Murdoch`s Lupa Systems and co-founded by Murdoch and former media executive Uday Shankar. Shankar will become chairman of A2B`s board as the company moves towards a professionally managed structure.

A2B Plans Expansion and Modernisation

The investment will help A2B expand into western India and international markets, including Europe. The company also plans to strengthen its retail business and modernise its manufacturing facilities in Chennai and Bengaluru. A new production facility is also under consideration to support retail and export operations.

Co-founder K.T. Srinivasa Raja said the partnership would help prepare A2B for a possible public listing and support its next phase of growth.

From Chennai Sweet Shop to Global Brand

Founded in Chennai in the late 1970s, A2B started with a single shop in Washermanpet, followed by its popular Adyar outlet. Today, it operates around 160 outlets in India and more than 30 overseas, employing over 15,000 people.

Its international presence includes Singapore, the US, Australia, Malaysia and the UK. The company operates restaurants and sells sweets and savouries through retail stores and online platforms.

The transaction marks Bodhi Tree`s third major investment after ALLEN Career Institute and JioStar. It also highlights growing investor interest in India`s food and restaurant industry, with experts expecting more regional food brands to enter the stock market in the coming years.