The initial public offering (IPO) of packaged food company Milky Mist Dairy Food Ltd will open for subscription on August 11 and close on August 13. The Milky Mist IPO price band has been fixed at ₹133-140 per share.
Ahead of the IPO opening, Milky Mist Dairy Food Ltd raised ₹465.30 crore from anchor investors on Monday. The company allotted 3.32 crore equity shares to anchor investors at ₹140 apiece, the upper end of the IPO price band, according to a circular uploaded on the BSE website.
Zulia Investments Pte Ltd received the largest allocation of 1.14 crore shares, accounting for 34.39% of the anchor investor portion, with the investment valued at around ₹160 crore. Other prominent anchor investors included Nippon India Mutual Fund, HDFC Mutual Fund, ICICI Prudential Mutual Fund, Public Sector Pension Investment Board-IIFL Asset Management, India Acorn Fund and International Finance Corporation (IFC).
The Milky Mist IPO lot size has been fixed at 107 equity shares, and investors can bid in multiples of 107 shares thereafter.
Under the reservation structure, not more than 50% of the Milky Mist IPO is reserved for Qualified Institutional Buyers (QIBs), not less than 15% for Non-Institutional Investors (NIIs) and not less than 35% for retail investors.
Tentatively, the Milky Mist IPO basis of allotment will be finalised on Friday, August 14. The company is expected to initiate refunds on Monday, August 17, while shares will be credited to the demat accounts of successful allottees on the same day. The Milky Mist share price is likely to be listed on the BSE and NSE on Tuesday, August 18.
Milky Mist IPO GMP today
Milky Mist IPO GMP today is +20.5. Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of the Milky Mist Dairy Food share was ₹160.5 apiece, which is 14.64% higher than the IPO price of ₹140.
According to recent grey market trends over the past seven sessions, the expected market price (GMP) of the IPO is trending upward today, suggesting anticipation of a successful listing. Throughout this timeframe, the GMP fluctuated between a minimum of ₹0.00 and a maximum of ₹27, as noted by experts.
Milky Mist IPO subscription status
Subscription for the public issue will open at 10:00 IST during Tuesday’s deals.
Milky Mist IPO details
Milky Mist IPO comprises a fresh issue of equity shares worth up to ₹1,428 crore and an offer for sale (OFS) of up to ₹125 crore.
The proposed issue is set to become 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.
Earlier, Milky Mist Dairy Food Ltd had planned to raise ₹2,035 crore through its IPO, comprising a fresh issue of ₹1,785 crore and an OFS of ₹250 crore. At the upper end of the price band, the company is expected to command a post-issue market valuation of around ₹10,778 crore.
The IPO follows a ₹482 crore pre-IPO round raised by Milky Mist in May from Jongsong Investments Pte Ltd, an indirect wholly owned subsidiary of Temasek Holdings. The transaction comprised a primary capital infusion of ₹357 crore and a secondary share sale of ₹125 crore.
The company plans to use the fresh issue proceeds towards repayment or prepayment of borrowings, expansion and modernisation of its manufacturing facility at Perundurai, Tamil Nadu, and strengthening its cold-chain infrastructure. The funds will also support the setting up of whey protein concentrate, yogurt and cream cheese plants, along with the installation of visi coolers, ice cream freezers and chocolate coolers. A portion of the proceeds will be utilised for general corporate purposes.
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 IPO review
Swastika Investmart said Milky Mist Dairy Food has delivered a 33.6% revenue CAGR, expanding margins and a 32% return on equity (RoE), supported by its leadership in the value-added dairy segment. The brokerage noted that the company is valued at around 85x FY26 post-IPO earnings, compared with the dairy sector average P/E of around 52.5x. However, it believes the premium is justified by Milky Mist’s FMCG-like margins and its pure-play value-added dairy business, unlike traditional liquid milk processors such as Hatsun and Heritage. Swastika also highlighted the ₹482 crore pre-IPO investment by Temasek, through Jongsong Investments, which it said provides validation for the valuation and upper price band of ₹140. The brokerage said aggressive investors can apply, while a more favourable entry point may emerge post-listing as leverage declines and earnings quality improves.
Sushil Financial Services Pvt. Ltd. has assigned a ‘Subscribe’ rating to the issue, citing Milky Mist’s strong growth and profitability trajectory. The brokerage noted that revenue increased from ₹2,354.79 crore in FY25 to ₹3,145.01 crore in FY26, while PAT nearly tripled to ₹127.01 crore from ₹46.07 crore. EBITDA margin expanded to 13.87% from 13.21%, while RoNW improved sharply to 33.60% from 18.98%. It added that the IPO proceeds are well balanced across debt repayment, capacity expansion and cold-chain and retail infrastructure, supporting the company’s continued distribution-led growth.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
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