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Milky Mist IPO

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Upcoming IPO.

About the Company
Milky Mist Dairy Food Ltd, based in Erode, Tamil Nadu, is one of India’s fastest-growing value-added dairy product (VADP) companies. Founded by T. Sathish Kumar, it has carved a niche by focusing on high-margin products like paneer, cheese, curd, ghee, yogurt, and butter, while deliberately staying away from the low-margin liquid milk business. The company’s state-of-the-art Perundurai facility, among the most automated dairy plants in India, processes around 12.5 lakh litres of milk daily. Milky Mist directly sources milk from over 67,000 farmers across Tamil Nadu and Karnataka, ensuring traceability, consistent quality, and a reliable supply chain. This farm-to-factory model reinforces its premium positioning and operational efficiency, allowing the brand to maintain tight control over production, quality, and product innovation across its portfolio.
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Founded In

1985

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CEO

T. Sathish Kumar

Utilisation of Proceeds

PurposeAmount
Dairy firm Milky Mist has filed its Draft Red Herring Prospectus (DRHP) with SEBI, proposing to raise up to ₹2,035 crore via an IPO, comprising a fresh issue of ₹1,785 crore and an offer-for-sale worth ₹250 crore.-
Milky Mist plans to utilise approximately ₹750 crore from the fresh issue to repay or prepay existing borrowings, which totaled ₹1,463.59 crore as of May 31, 2025. This move aims to strengthen its balance sheet and reduce interest burden.-
Approximately ₹414.7 crore from the IPO proceeds will be allocated towards expanding and modernizing Milky Mist’s Perundurai manufacturing facility. This includes increasing production capacity for yogurt, whey protein concentrate, and cream cheese to support future growth and product diversification.-
The company will allocate ₹129.4 crores towards visi coolers, ice cream freezers, and chocolate coolers, vital assets to enhance its cold chain infrastructure and expand retail presence by improving in-store product visibility.-
A remaining portion of the IPO proceeds will also be allocated toward general corporate purposes, providing flexibility for operational needs, working capital, and strategic initiatives to support long-term business growth and efficiency.-
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  • Strong Financial Performance in FY24:: Milky Mist posted strong financial growth in FY24, with revenue from operations rising 29% to ₹2,349.5 crore from ₹1,821.6 crore in FY23. Net profit surged 137% year-on-year, reaching ₹46 crore compared to ₹19.4 crore in the previous fiscal.
  • Robust Supply Chain Integration:: Milky Mist sources milk directly from over 67,000 farmers across South India, ensuring consistent raw material availability, better quality control, and a resilient procurement network that supports its daily production needs.
  • Fully Automated and Tech-Driven Manufacturing:: Milky Mist runs one of India’s largest automated dairy plants at Perundurai. Advanced technology ensures high production efficiency, minimal human intervention, and consistent product quality across its diverse dairy portfolio.
  • Diverse High-Margin Product Range: : Milky Mist offers paneer, cheese, curd, butter, yogurt, ghee, UHT milk, ice cream, frozen foods, and confectionery, targeting multiple consumer segments while maintaining premium pricing and strong brand positioning.
  • End-to-End Cold Chain Logistics:: Milky Mist operates a fleet of over 400 refrigerated trucks, maintaining a continuous cold chain from farm to retail shelves. This robust logistics network minimises spoilage, ensures product freshness, and strengthens customer trust, which is an essential advantage in the highly perishable dairy industry.
  • Market Leadership:: Milky Mist is the largest private packaged paneer brand in India, holding approximately. 17% market share in organised paneer and ranking among the top private cheese brands nationally (5% share) in FY25. This strong position underpins competitive pricing and retail traction.
  • ESG-Driven, Automated Operations:: Operating a highly automated plant with a daily paneer output of 150 MT, Milky Mist sources over 70-80% of its energy from solar and wind, employs water recycling, and utilises methane-to-energy systems, demonstrating sustainability-linked efficiency.

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