China Finally Bows: Haier to Sell 49% Stake in India, Reliance Among Interested Buyers

After prolonged negotiations, China’s Haier has received government approval to sell a 49% stake in its Indian unit, Haier Appliances India. The move clears the way for a joint venture between Sunil Mittal’s Bharti Enterprises and Warburg Pincus to acquire the stake, marking a significant development in India’s consumer electronics sector.

Deal Details and Valuation
The formal announcement is expected soon, with the valuation of Haier India estimated at around ₹15,000 crore (approx. $1.5 billion). Under the agreement, Haier will retain 49%, Bharti Enterprises and Warburg Pincus will jointly hold 49%, and the remaining 2% will go to Haier Appliances India employees. The partnership between Bharti and Warburg is likely to be evenly split.

Timeline and Management Changes
All parties are expected to seek local regulatory approvals, aiming to complete the deal within 3–4 months. The acquisition is likely to bring management changes at Haier India, with Satish NS potentially taking over as Managing Director, replacing current Chinese MD Decheng Huang, who will return to Beijing.

Strategic Rationale
Haier sought a trusted Indian partner to navigate regulatory approvals, including the mandatory Press Note 3 clearance required for foreign investments. The company also plans to expand in India with a third manufacturing plant, alongside marketing and operational investments. Currently, Haier operates plants in Greater Noida and Pune.

Interest from Major Players
Haier India, which sells refrigerators, washing machines, TVs, microwaves, and air conditioners, has attracted attention from several major investors, including Reliance Industries (Mukesh Ambani), TPG, the Dabur Burman family, Goldman Sachs, the Amit Jatia family, Singapore’s GIC, and the Dalmia and Welspun family offices, among others.

Market Position and Performance
Haier India is India’s third-largest consumer electronics company, trailing only LG and Samsung. According to RoC filings, it overtook Whirlpool India in sales in 2024–25, achieving ₹8,234 crore in revenue, up 30% year-on-year. Net profit more than tripled to ₹480 crore. The company targets ₹11,500 crore in sales for 2025–26.