Shares of dairy producer Milky Mist Dairy Food made a successful stock market debut

During the IPO, shares of Milky Mist Dairy Food were offered to investors at a price of 140 rupees per share. At the opening of trading on the NSE and BSE exchanges, the share price was 165 rupees, which is 17.8% higher than the offering price. By the end of the trading day, quotes reached the upper circuit, amounting to 181.50 and 181.45 rupees respectively, which means a final increase of 30%.

Demand for the company's shares exceeded supply by 56.12 times. Qualified institutional investors showed the greatest activity (oversubscribed by 155.83 times), followed by non-institutional investors (34.91 times), company employees (12.41 times), and retail investors (8.40 times). The completed offering became the largest among Indian dairy companies, and the organization's market capitalization is estimated at 10,778 crore rupees.

Analysts note the company's strong financial performance, in particular, a compound annual growth rate (CAGR) of revenue at 33.6% and a return on equity (RoE) of 32%. At the same time, experts point to the high valuation of the shares, which is about 85x the projected profit for the 2026 fiscal year, significantly higher than the average for the dairy sector (about 52.5x).

The funds raised will be directed toward the repayment of debt obligations, as well as the development of production facilities in Perundurai, Tamil Nadu. In particular, the company plans to modernize existing facilities and expand cold chain infrastructure. The development program includes the launch of production lines for whey protein concentrate, yogurt, and cream cheese, as well as the installation of equipment for the storage of ice cream and chocolate products.

Previously, in May, Milky Mist Dairy Food raised 482 crore rupees during a pre-IPO investment round with the participation of a subsidiary of Temasek Holdings — Jongsong Investments Pte Ltd. Among the company's competitors in the market are producers such as Parag Milk Foods, Hatsun Agro Product, and Dodla Dairy.