VG Siddhartha, the founder of Cafe Coffee Day, is seeking a valuation of Rs 8,000 crore to Rs 10,000 crore from the sale of the coffee chain to Coca Cola, while retaining a controlling stake in the business which he set up two decades ago, The Economic Times reported, citing people aware of the development.

"The promoters are asking for a valuation of between four to five times of sales (in the coffee business) on the back of some valuation trends in the industry both companies are privy to," one of the sources was quoted as saying in the report.

Earlier on Thursday, ET reported that the US-based non-alcoholic beverage company is in discussions to pick up a significant stake in CCD as the former looks to expand footprints in cafés space and restrict risks linked with its carbonated drinks business.

The talks, which are led by Coca-Cola's global team, are in the early stages, said the ET sources, adding that if the deal materialises, it will give the firm a significant scale in the fast-growing café business.