Chennai, January 20, 2025: Hatsun Agro Product Limited (HAP), one of India’s leading dairy product manufacturers, has announced the acquisition of 100% stake in Milk Mantra Dairy Private Limited. The acquisition, valued at ₹233 crore, marks a strategic expansion of HAP into the Eastern Indian dairy market.
Details of the Acquisition
The board of directors of HAP approved the acquisition in a meeting held on January 20, 2025. The company has signed Share Purchase Agreements (SPAs) and other transaction documents with the existing promoters and shareholders of Milk Mantra Dairy. Completion of the transaction is contingent on meeting certain customary conditions outlined in the SPA.
Upon successful completion, Milk Mantra Dairy will become a wholly-owned subsidiary of Hatsun Agro Product Limited.
About Milk Mantra Dairy
Milk Mantra Dairy Private Limited, incorporated in 2009, is a prominent dairy company known for its innovative brand ‘Milky Moo.’ The company has established a strong presence in Odisha and specializes in marketing and selling fresh dairy products. As of January 20, 2025, Milk Mantra’s paid-up share capital stands at ₹47.75 crore, with a turnover of ₹276.42 crore for the financial year 2023-24.
Strategic Significance of the Acquisition
The acquisition aligns with HAP’s strategy to expand its geographical footprint and strengthen its dairy market presence in Eastern India. Milk Mantra’s existing operations complement HAP’s business, providing an opportunity to tap into new markets, including Odisha, North Andhra Pradesh, West Bengal, and neighboring states.
“The acquisition of Milk Mantra Dairy is a significant step towards scaling our operations and strengthening our brand portfolio,” said C. Sathyan, Vice Chairman of Hatsun Agro Product Limited. “We look forward to integrating our expertise and infrastructure to deliver high-quality dairy products to consumers across new regions.”
Milk Mantra’s flagship brand ‘Milky Moo’ will join HAP’s existing portfolio, which includes popular dairy brands such as Arun, IBACO, Hatsun, and Arokya.
Financial and Transactional Details
- Acquisition Cost: ₹233 crore (cash transaction)
- Stake Acquired: 100% of the issued and paid-up share capital
- Regulatory Approvals Required: None
- Expected Completion Timeline: One month from the signing of the SPA, subject to conditions
HAP’s Growing Market Presence
With this acquisition, Hatsun Agro Product Limited is set to further consolidate its leadership in the dairy sector, leveraging Milk Mantra’s robust supply chain and brand presence. The move is expected to enhance HAP’s ability to serve a broader consumer base while reinforcing its mission of delivering fresh, high-quality dairy products across India.