Food Chain A2B Sells Majority Stake for $180 Million to Bodhi Tree Systems

Popular South Indian restaurant chain Adyar Ananda Bhavan, widely known as A2B, has picked up an investment worth $180 million from Bodhi Tree Systems, a firm backed by James Murdoch and Uday Shankar. The 50-year-old company parted with a majority shareholding to complete this transaction, which industry insiders estimate values the business at approximately $350 million. Following the agreement, Uday Shankar takes over as the Chairperson of the newly formed Board of Directors, while Veda Corporate Advisors managed the deal as the exclusive financial advisor.

Expansion Plans

Vishnu Shankar, representing the founding family, stated that the fresh capital will drive growth into fresh territories across India and abroad. The fifty-year-old brand currently operates around 160 outlets inside the country alongside 32 international locations in countries like Singapore, the United States, and Australia. The company bases its headquarters in Chennai, employs over 15,000 staff members, and sells packaged snacks alongside its traditional vegetarian meals and sweets. Management plans to target Western India and Europe next, while also upgrading manufacturing units in Chennai and Bengaluru and considering an additional plant for retail and export needs. This marks the third major backing for Bodhi Tree Systems, following earlier investments in ALLEN Career Institute and JioStar. Meanwhile, Junior Kuppanna Director Balachandar R. noted that traditional food brands hold immense hidden value, predicting a surge of publicly listed food and beverage companies over the coming decade.

Context

Private equity investments in traditional family-run food businesses have become increasingly common as regional eateries look to scale up operations nationally and globally. Major institutional backing allows legacy brands to modernize supply chains, upgrade factories, and build retail networks that compete on an international scale. This transaction mirrors a broader pattern where financial partners step in to help established domestic food chains transform into large corporate entities.