Private equity firm Advent International, which holds a majority stake in DFM Foods through its subsidiary AI Global Investments on August 15 announced its proposal to delist the snack maker from stock exchanges.

In a regulatory filing, Advent said AI Global intends to “acquire all equity interests held by public shareholders, individually or collectively, as the case may be.”

As a result, the Crax maker will “voluntarily delist from the BSE and NSE, the two stock exchanges on which they are currently listed,” the document said.

The proposed delisting comes about four months after Media reported that Advent-owned DFM Foods might want to be delisted from the exchange. People familiar with the matter cited in that article claim that a proposed delisting is being discussed to allow Advent to make a “bold strategic decision” to overhaul the company.

Shares of DFM Foods are close to the price Advent bought a majority stake in 2019. Through its subsidiary AI Global, the private equity firm acquired the shares at Rs 249.50 per share, holding a total of 73.7% as of March 2019, June 30 2022.

Shares of DFM Foods rose 20% on the BSE and NSE to close at around Rs 253 per share on August 12, ahead of the announcement of the delisting proposal.