Milky Mist ₹1,553 Crore IPO Opens August 11

Milky Mist Dairy Food Ltd, a leading dairy products maker, has fixed a price band of ₹133-140 per share for its ₹1,553 crore Initial Public Offering (IPO). The IPO will open for subscription on August 11 and conclude on August 13.

The company has planned to use the proceeds from the fresh issue to repay borrowings and expand its manufacturing facility at Perundurai, including setting up new plants for whey protein concentrate, yogurt, and cream cheese.

The IPO comprises a fresh issue of equity shares aggregating up to ₹1,428 crore and an Offer for Sale (OFS) of up to ₹125 crore. At the price band, the company is expected to command a post-issue market valuation of about ₹10,310 crore to ₹10,778 crore.

Milky Mist had earlier planned to mobilise ₹2,035 crore through its maiden public offering, according to its draft papers. The company had also raised ₹482 crore in a pre-IPO funding round in May this year from Jongsong Investments Pte Ltd, an indirect wholly owned subsidiary of Temasek Holdings.

The company has reserved 50 per cent of the offer for qualified institutional buyers, 15 per cent for non-institutional investors, and 35 per cent for retail investors. The equity shares are proposed to be listed on the BSE and NSE on August 18.

JM Financial, Axis Capital, and IIFL Capital Services are the book-running lead managers to the issue, while KFin Technologies is the registrar.

Milky Mist is among India's leading premium dairy brands, focused on value-added dairy products. Its portfolio includes paneer, cheese, curd, yogurt, butter, ghee, and ice cream, among other products.

The proposed public issue is set to be the largest IPO by an Indian dairy company. Listed peers in the sector include Parag Milk Foods Ltd, Hatsun Agro Product Ltd, and Dodla Dairy Ltd.

The IPO is expected to provide a significant boost to the company's growth plans, enabling it to expand its manufacturing capacity and strengthen its market position.

In conclusion, the Milky Mist IPO is a significant development in the Indian dairy industry, and investors are eagerly awaiting the subscription period to begin. With its strong portfolio of value-added dairy products and plans for expansion, Milky Mist is well-positioned for growth and success in the future.