Milky Mist Dairy Food is set to launch its initial public offering, targeting ₹1,553 crore to fund expansion, debt reduction, and strengthen its position as a key player in India’s value-added dairy segment amid rapid revenue growth and strategic investments.
Milky Mist Dairy Food is set to open its initial public offering on August 11, with the dairy company aiming to raise funds for debt reduction, capacity expansion and other corporate needs. Trade Brains said the issue is valued at ₹1,553 crore, while other reports had earlier placed the planned offer at ₹2,035 crore after regulatory approval. The final structure now includes a fresh issue of 10.20 crore shares and an offer for sale of 0.89 crore shares, with the price band fixed at ₹133 to ₹140 a share.
The company has built its business around value-added dairy products sold under the Milky Mist brand and a range of sub-brands. Its portfolio spans cheese, paneer, butter, curd, ghee, yoghurt, ice cream, UHT milk, frozen foods, ready-to-eat and ready-to-cook products, as well as chocolates. According to the company’s IPO materials, it works on a farm-to-consumer model, sourcing milk directly from dairy farmers and using its own manufacturing plants, cold chain logistics and distribution network to serve customers across the country.
The proceeds will be used chiefly to strengthen the balance sheet and fund growth. Trade Brains said ₹496.86 crore is earmarked for debt repayment, ₹469.24 crore for expanding and modernising the Perundurai manufacturing facility and ₹155.31 crore for visi coolers, ice cream freezers and chocolate coolers. The company has also benefited from pre-IPO interest: The Economic Times reported that Jongsong Investments, an indirect wholly owned arm of Temasek Holdings, invested ₹482 crore before the float, implying a valuation of about ₹9,300 crore at that time.
Milky Mist’s financial performance has improved sharply. Trade Brains said total income rose from ₹1,826.86 crore in FY24 to ₹2,354.79 crore in FY25 and ₹3,145.01 crore in FY26, while profit after tax climbed from ₹19.44 crore to ₹46.07 crore and then ₹127.01 crore. On peer comparison, its revenue trails larger listed names such as Nestlé India, Britannia Industries and Tata Consumer Products, and its basic earnings per share is also lower than those rivals. Even so, the company is being positioned as one of the biggest listings in India’s value-added dairy segment, helped by its brand recognition, integrated operations and growing presence in packaged dairy. Risks remain, however, including heavy dependence on milk procurement from Tamil Nadu, revenue concentration in South India, contingent liabilities and debt-related pressure.
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