Among the four approved IPOs, the standout is Milky Mist Dairy Food. The Tamil Nadu-based dairy products maker is set to raise Rs 2,035 crore through a mix of fresh issue and offer for sale, making it the largest IPO yet in India’s dairy sector.
Of the total, Rs 1,785 crore will come from a fresh equity issue and Rs 250 crore through an offer for sale by existing shareholders, as per its draft red-herring prospectus.
Milky Mist plans to use about Rs 750 crore for debt repayment, Rs 414.7 crore for expansion and modernisation of its Perundurai manufacturing facility, and Rs 129.4 crore to deploy visi-coolers, freezers and other retail equipment. The remainder will go toward general corporate purposes.
The company, founded by T Sathish Kumar, produces a wide range of dairy products including paneer, curd, butter, milk, cheese and beverages under the Milky Mist brand. It has a strong presence across South India with plans to deepen reach in the North and West.
JM Financial, Axis Capital and IIFL Capital Services are the book-running lead managers, while KFin Technologies is the registrar.
Other approvals this week
Kanodia Cement, backed by Anand Rathi Advisors, received Sebi’s observation on October 20 for its offer-for-sale-only issue. Gaja Alternative Asset Management, an investment platform promoted by Gaja Capital, also received the green light on October 20 for its pre-filed offer, with JM Financial as lead manager.Food-tech player Curefoods India, which operates brands such as EatFit and Frozen Bottle, obtained Sebi approval on October 24 for a fresh issue-cum-OFS proposal managed by JM Financial.
Steamhouse India, an engineering services firm, also secured Sebi’s observation letter, with Equirus Capital as lead manager.
Sterlite Electric IPO on hold
Meanwhile, Sterlite Electric, part of the Vedanta Group, remains on Sebi’s pending list after filing its draft prospectus earlier in October. The proposed issue comprises a fresh equity sale of 77.9 lakh shares and an offer for sale of another 77.9 lakh shares.
Promoters Anil Agarwal and Twin Star Overseas were expected to participate in the OFS alongside other shareholders.