Milky Mist, an Erode-based Indian dairy company, is set to raise Rs 1,500-2,000 crore through an IPO, aiming for a valuation of Rs 20,000 crore. The funds will support expansion and product development as the company targets growth beyond South India.
IPO Overview and Strategic Expansion
Milky Mist, an Erode-based dairy company, is gearing up for a significant public offering, aiming to raise Rs 1,500-2,000 crore through an IPO. The company is aiming for a valuation of Rs 20,000 crore, positioning itself alongside other major dairy companies such as Hatsun Agro Products, Heritage Foods, Parag Milk Foods, and Dodla Dairy.
Growth Plans and Market Expansion
The IPO is a key part of Milky Mist’s strategy to support its growth plans. The funds will be used to enhance its value-added product range and expand its footprint beyond South India. The company is targeting entry into new markets, including Maharashtra, Gujarat, Rajasthan, Madhya Pradesh, and Delhi-NCR.
Company Evolution and Market Presence
Founded in 1994 by T Sathish Kumar, Milky Mist has grown from a regional dairy business to a prominent player in the Indian dairy sector. The company’s product range includes paneer, curd, butter, cheese, yoghourt, and ice cream, catering to the increasing demand for dairy products in India.
Also Read- Milky Mist Plans IPO with Rs 20,000 (2.5 Billion USD) Crore Valuation
Financial Performance and Investment Plans
Last fiscal year, Milky Mist reported revenue of Rs 1,940 crore and a profit of Rs 50 crore. The company plans to invest Rs 650 crore over the next two-and-a-half years in new facilities, including a 60-tonne powder plant and a 100-tonne paneer plant. This investment is expected to generate additional sales of Rs 250-300 crore.
Industry Context and Competitive Landscape
The upcoming Milky Mist IPO highlights a broader trend of consolidation and investment in the Indian dairy industry, with major players like Nestle, Britannia, and Amul also active in the market. Milky Mist’s movie underscores the evolving dynamics and increasing competition in India’s dairy sector.
Milky Mist’s planned IPO represents a significant step in its growth strategy, aiming to strengthen its market presence and expand its product offerings. The company’s efforts to raise capital through the public markets will support its ambitions to become a leading dairy company in India and beyond.
