Milky Mist filed draft papers near SEBI: The company’s plan to raise ₹ 2035 crore from IPO; The company makes cheese-size, curd and ghee products

In the Indian Packaged Food Sector, Major Player Milky Mist Dairy Food has filed draft red herring prospectus (DRHP) ie draft papers for Initial Public Offering i.e. IPO. With this IPO, the company has a plan to raise Rs 2035 crore.

The company will sell new shares of Rs 1785 in this public issue. At the same time, the promoters of the company will sell shares worth Rs 250 crore through Sashtikumar T and Anita S Offer-SAL (OFS).

The company will use the funds collected from the new issue for many of its strategic plans. The company will pay a loan of Rs 750 crore and will pay Rs 414 crore for the expansion of Perundurai facility. Apart from this, Vizi will use Rs 129 crore and the rest of the funds for normal corporate purposes.

Milky Mist Premium Value-Adered Dairy Products- such as cheese, cheese, curd and ghee installed in Erode, Tamil Nadu. This company has a distinct identity from traditional dairy companies by not selling liquid milk. The focus has helped the company maintain higher margins similar to fast-moving consumer goods (FMCG) companies.

With a fully automated manufacturing and in-house logistics network, Milky Mista ensures quality and efficiency. The company continuously connects more than 67,000 farmers to supply milk.

Through this IPO, Milky Mist’s target premium is to take advantage of the increasing demand for dairy products, increase its manufacturing capacity, reduce debt and strengthen its leadership in FMCG dairy sector. JM Financial Limited, Axis Capital Limited and IIFL Capital Services Limited are the book running lead manager of this issue.

Milky Mist’s revenue increased from Rs 1,394 crore to FY 23 to Rs 2,349 crore in FY 25, which shows a 30% compound annual growth rate. The company’s Ebitda stood at Rs 310 crore with 13.2% margin. The company’s new launched products have contributed significantly to the revenue. Due to which the company’s revenue has increased by Rs 511 crore in FY 25 alone.

The company works on maintaining premium pricing, its cheese and curd products prices are 10-25% higher than the competitions. About 75.4% of the Revenue of FY 2025 received from Daily Consumption Products. Milky Mist operates one of the largest cheese production capacity in India, which produces 150 MT of production every day.

Milky Mist uses water re-processing and renewable energy to meet its 70-80% needs. The company’s innovation is spread to health focused products, which provide high-protein, lactose-free and low-sugar options.