Temasek arm backs Milky Mist ahead of IPO as part of Rs 482 crore pre-listing round

Synopsis

Milky Mist Dairy Food has raised Rs 482 crore in a Temasek-backed pre-IPO round, led by Jongsong Investments. The funding strengthens its balance sheet ahead of its planned market debut, signalling strong institutional interest in the value-added dairy brand as it accelerates expansion and prepares for listing.

Milky Mist Dairy Food has raised about Rs 482 crore in a pre-IPO funding round led by a Temasek-backed investor, strengthening the dairy company’s balance sheet ahead of its planned stock market debut.

According to the company's public filing, Jongsong Investments, an indirect wholly owned subsidiary of Temasek Holdings, has anchored the pre-IPO round, marking an institutional endorsement for one of India's fastest-growing value-added dairy brands.

The total fundraise comprises a primary capital infusion of around Rs 357 crore and a secondary share sale worth nearly Rs 125 crore, taking the overall transaction size to about Rs 482 crore.

As part of the primary issuance, Milky Mist allotted 5.44 lakh equity shares at Rs 139.76 per share, raising about Rs 7.6 crore. The company also issued 25 lakh compulsorily convertible preference shares (CCPS) at the same price, bringing in an additional Rs 349.4 crore. The preference shares will convert into equity on a 1:1 basis before listing.

The entire primary investment was subscribed by Jongsong Investments, underlining Temasek's growing appetite for consumer-facing Indian businesses with strong brand and distribution play.

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Alongside the fresh capital raise, promoters Sathishkumar T and Anitha S sold 89.44 lakh equity shares at Rs 139.76 apiece, generating about Rs 125 crore through the secondary transaction.

The transaction implies a strong valuation benchmark ahead of Milky Mist’s proposed IPO, which market participants expect could hit Dalal Street later this year, subject to regulatory approvals.

Founded in Tamil Nadu, Milky Mist has built a strong presence in premium dairy categories, including paneer, cheese, curd, butter, yoghurt, and other value-added products. The company has expanded aggressively beyond southern India in recent years, benefiting from rising branded dairy consumption and deeper cold-chain penetration.

Temasek's entry comes at a time when global long-only investors are increasingly looking at India's consumption story despite broader market volatility. The investment also adds to a growing list of consumer and food brands attracting late-stage pre-IPO capital before public listings.

For Milky Mist, the fresh funds are expected to support expansion, capacity additions, distribution strengthening and brand-building as it prepares for the next phase of growth in the public markets.

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