In a strategic move that signals its readiness for public listing, Milky Mist, one of South India's leading dairy brands, has officially transitioned from a private to a public limited company. The change, confirmed via a regulatory filing, marks a crucial step toward the company’s proposed ₹2,000 crore initial public offering (IPO).
The Erode-based company, now known as Milky Mist Dairy Food Limited, is aligning its corporate structure to meet the listing requirements. A key part of this preparation has been the induction of two independent directors — Radha Venkatakrishnan and Mallika S. Janakiraman — onto the board, enhancing governance standards as required by public market norms.
According to industry sources, Milky Mist's IPO will be a mix of fresh share issuance and an offer for sale by existing shareholders. The company is targeting a valuation of approximately ₹20,000 crore (USD 2.3 billion). Leading investment banks JM Financial, IIFL Capital, and Axis Bank are expected to manage the IPO process.
From Erode Roots to National Ambitions
Founded by T. Sathish Kumar, Milky Mist began as a small-scale milk supplier and evolved into a vertically integrated dairy company. Its Direct Farm to Fork model ensures that milk is collected directly from farmers, processed into value-added dairy products, and distributed with minimal intermediaries, ensuring both freshness and quality.
Today, Milky Mist offers over 150 SKUs across 20 product categories including paneer, curd, ghee, and cheese, serving primarily the southern Indian market. The company also operates its own e-commerce platform, expanding its reach beyond regional retail channels.
Financial Snapshot and IPO Readiness
For FY 2023–24, Milky Mist reported ₹1,900 crore in revenue, reflecting a 33% year-on-year growth, despite a dip in net profit to ₹19.46 crore from ₹28 crore in the previous year. This indicates strong topline momentum, albeit with margin pressures — a common theme among fast-scaling FMCG brands.
The IPO, planned for 2025, would align Milky Mist with a new wave of consumer-facing companies like boAt and Pine Labs aiming to tap into public capital markets.
Expert Perspective
"Milky Mist's control over the entire dairy value chain — from farm procurement to retail — gives it a significant edge in ensuring product quality and operational efficiency. Going public will unlock further growth capital and enhance its brand visibility across India," said a dairy industry analyst familiar with IPO developments.
As the Indian dairy sector evolves with increasing consumer demand for value-added products, Milky Mist’s IPO journey will be one to watch closely in 2025.
